In a major step towards employee welfare, Indian Railways has partnered with the State Bank of India (SBI) to provide significantly upgraded insurance benefits to Railway staff. The Memorandum of Understanding (MoU) is set to benefit nearly 7 lakh employees who hold salary accounts with SBI.

Enhanced Coverage for Railway Staff

Under the new arrangement, Railway employees will receive Accidental Death Insurance of ₹1 crore, a massive increase from the existing coverage under the Central Government Employees Group Insurance Scheme (CGEGIS), which currently offers only:

  • ₹1.20 lakh for Group A
  • ₹60,000 for Group B
  • ₹30,000 for Group C employees

Additionally, employees will now be entitled to ₹10 lakh natural death coverage, provided entirely free of cost, without the need for premiums or medical examinations. This benefit is exclusive to Railway staff with SBI salary accounts.

Complimentary Insurance Benefits

The MoU also extends several supplementary protections, including:

  • Air Accident Insurance (Death): ₹1.60 crore
  • RuPay Debit Card-linked Benefit: Up to ₹1 crore
  • Personal Accident (Permanent Total Disablement): ₹1 crore
  • Personal Accident (Permanent Partial Disability): Up to ₹80 lakh

Summary

The MoU between Indian Railways and SBI marks a significant milestone in employee welfare, offering comprehensive and enhanced insurance coverage to Railway staff. By combining higher death cover, complimentary accident benefits, and zero-cost natural death coverage, the initiative sets a new benchmark in public sector collaboration aimed at strengthening employee financial security.

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