Travel insurance for train passengers effective from 1st September
Posted on: 28/Jul/2016 3:47:46 PM
Indian Railways are set to introduce the facility of travel insurance coverage for the passengers who book their tickets at the IRCTC website by paying a premium of Re. 1/-. This would be effective from 1st September.
In this insurance coverage scheme, if the passengers die or are debilitated in an accident during the travel, a compensation of Rs. 10 Lakhs will be paid to the family of the passenger. If the passenger is debilitated only to a minor extent, a compensation of Rs. 7.5 Lakhs will be paid. Rs. 2 Lakhs will be given for the passenger’s medical treatment.
This scheme would be valid for all passengers who book their tickets through IRCTC online. It would be valid whether the passenger has booked for 1st class or 2nd class.However, this scheme would not be valid for suburban passengers.
IRCTC is undertaking this travel insurance coverage scheme jointly with ICICI Lombard, Royal Sundaram, and Sriram General.
A contract agreement tender was floated by the Indian Railways to the private sector. 19 companies submitted their contract offers.3 companies have been selected.
Arrangements have been made for these 3 companies to offer their services on a rotational basis.
With the scheme expected to be functional from 1st September, there are some important informations to be noted.
As per the Railways Law Acts 123. 124. 124A, the insurance compensation will be given if there was an accident or sabotage irrespective of the class of travel.
When a passenger reserves his ticket, an insurance premium of Re. 1/- will be added to the ticket fare. Once the reservation is completed, a form regarding the nominee(s) for the insurance will appear on the monitor screen.Once this detail is filled up, compensation will be paid on the basis of this.
If a number of passengers are travelling in a single PNR, they have to pay the travel insurance coverage of Re. 1/- for each passenger.
If the passenger wants to include the children under the age of 5 in this travel insurance scheme, the details of the children must be furnished while booking the ticket. The premium for including the children will be added to the ticket fare.
