Railways provides insurance cover to 10 mn passengers in less than a month

Railways' optional travel insurance scheme has brought a huge response in less than a months' time, as over 10 million passengers have opted for it, officials said on Friday.

The insurance scheme was launched on 1 September by the Indian Railway Catering and Tourism Corporation (IRCTC), covering 10 million passengers in 29 days of its launch, says IRCTC

The travel insurance cover, which is offered at a premium of Re1 to the ticket fare, provides insurance cover of up to Rs10 lakh.

"The optional insurance scheme has elicited an extremely favourable response from the rail passengers," IRCTC chairman and managing director AK Manocha said in a statement. 

"In less than a month, the passenger-friendly measure has been opted for by one crore passengers till Thursday (29 September)," he added.

Railway minister Suresh Prabhu had announced in the Railway Budget 2016-17 a proposal to provide insurance cover to rail passengers under which a travelling passenger will get insurance cover of up to Rs10 lakh on booking a train ticket online by paying just 92 paise.

The scheme offers travellers, or their families, compensation of up to Rs10 lakh in the event of death or permanent disability, Rs 7.5 lakh for permanent partial disability, and up to Rs2 lakh for hospitalisation expenses.

There is also a provision to pay Rs10,000 for transportation of mortal remains in the event of death or injury from a train accident or other "untoward incidents", including terrorist attacks, dacoity, rioting, shoot-out or arson, as well as for short termination, diverted route and Vikalp trains.

According to the IRCTC, the optional insurance scheme facility is available for all passengers who book e-tickets, excluding suburban trains, through its website, irrespective of the class of ticket.

However, passengers opting for insurance cover will have to provide nomination details for proceeding with policy cover plan. A message will be displayed after the ticket is booked at payment of a premium asking for nominee details and these will have to be provided to complete the transaction.

Passengers wanting to cover children below five years of age have to furnish details of the child at the time of booking and accordingly a travel insurance premium will be added to the total fare.

The scheme covers the passenger from the actual departure of train from the originating station to actual arrival of train at the destination station, including process of entraining and detraining.