Indian Railways Partners with SBI for Major Employee Insurance Boost

The Indian Railways signed an MoU with the State Bank of India to offer enhanced insurance coverage for its employees. Employees with salary accounts at SBI will receive significant accidental and natural death insurance, marking a substantial improvement in employee welfare.

The Indian Railways on Monday formalized an MoU with the State Bank of India to extend notable insurance coverage to its workforce and their families, officials announced.

In a ceremony graced by Railway Minister Ashwini Vaishnaw, it was disclosed that employees maintaining salary accounts with SBI are now entitled to accidental death insurance amounting to Rs 1 crore, as outlined in a press statement by the Railways Ministry.

This coverage marks a significant elevation from the previous Rs 1.20 lakh, Rs 60,000, and Rs 30,000 amounts available to Group A, B, and C employees under the Central Government Employees Group Insurance Scheme (CGEGIS).

Furthermore, railway employees with only a salary account at SBI are now eligible for natural death insurance coverage of Rs 10 lakh, requiring neither premium payments nor medical tests.

With almost 7 lakh railway employees holding salary accounts at SBI, this initiative is a significant advancement in employee welfare, underscoring the supportive partnership between Indian Railways and SBI.

According to ministry sources, the MoU's key complementary insurance provisions include air accident death insurance of Rs 1.60 crore, plus an additional amount up to Rs 1 crore via the RuPay debit card; personal accident insurance for permanent total and partial disablement of Rs 1 crore and Rs 80 lakh, respectively.

(With inputs from agencies.)