From 1st September train passengers may avail insurance cover of upto 10 Lakh for premium of Re 1

From coming September, train passengers booking their tickets online through the IRCTC website will be able to opt for travel insurance cover upto Rs. 10 lakh for a premium of just Re 1. The scheme offers travellers or their families compensation of up to Rs 10 lakh in the event of death or permanent total disability, Rs 7.5 lakh for permanent partial disability, up to Rs 2 lakh for hospitalisation expenses and Rs 10,000 for transportation of mortal remains in the event of death or injury from a train accident or other untoward incident including terrorist attacks, dacoity, rioting, shoot-out or arson.

The new facility will be available for all passengers of Railways who book the e-ticket, excluding suburban trains, through its website, irrespective of the class of the ticket, on a trial basis. The scheme is being implemented by IRCTC in partnership with ICICI Lombard General Insurance, Royal Sundaram and Shriram General. A total of 19 companies participated in the bidding process out of which these three were selected. The three companies selected will get the insurance policy on a rotation basis from an automated system. IRCTC has engaged the providers for a period of one year, with the provision of extending the contract on a performance basis. Train accident and untoward incident cases will be as per definition under Sections 123 read with Sections 124 and 124A of the Railways Act, 1989.

The insurance cover is uniform for all classes and the option available through a checkbox at the time of e-ticket booking. The premium amount will be automatically added to the ticket fare if the passenger opts for insurance. After the ticket booking and payment of premium, a message shall be displayed to complete the nomination details, which are necessary to settle the claims on timely basis.

Checking the option will make the coverage mandatory for all passengers booked under that PNR number and the premium charged accordingly. Users wanting coverage for children below five years of age will need to furnish details of the child at the time of booking and accordingly travel insurance premium will be added to the total amount payable.