Indian Railways, SBI sign MoU to provide enhanced insurance benefits to employees

New Delhi: Indian Railways has signed a Memorandum of Understanding (MoU) with the State Bank of India (SBI) to significantly enhance insurance coverage for its employees maintaining salary accounts with the bank. The agreement was signed in the presence of the Minister for Railways, Information & Broadcasting, and Electronics & Information Technology, Ashwini Vaishnaw. Chairman, Railway Board, Satish Kumar, and SBI Chairman, C.S. Setty, were also present at the ceremony.

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Under the MoU, accidental death insurance cover for railway employees has been raised sharply to Rs 1 crore, compared to the existing coverage of Rs 1.20 lakh, Rs 60,000, and Rs 30,000 under the Central Government Employees Group Insurance Scheme (CGEGIS) for Group A, B, and C employees respectively. Additionally, all railway employees maintaining salary accounts with SBI will now be entitled to a natural death insurance cover of Rs 10 lakh, without any premium payment or medical examination requirement.

Nearly 7 lakh railway employees are expected to benefit from this agreement, which is being seen as a major step in employee welfare. The MoU also provides for a range of complimentary insurance benefits, including air accident death insurance cover of Rs 1.60 crore plus an additional up to Rs 1 crore on RuPay debit card, personal accident permanent total disablement cover of Rs 1 crore, and personal accident permanent partial disability cover of up to Rs 80 lakh.

The initiative has been described as an employee-centric measure aimed at delivering exclusive benefits to railway personnel, particularly frontline Group C employees and others. By partnering with SBI, Indian Railways has strengthened its welfare framework, ensuring enhanced financial security for its workforce and their families.

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