Epic fail for rail insurance: Over 26.67 crore insured, but only 25 claimed it
Nevertheless, only a minuscule number of 25 passengers applied for compensation that amounts to Rs 2.06 crore.
NEW DELHI: As per a finding, availed through a recently filed Right to Information (RTI) application, three private sector insurance companies have been disbursed Rs 24.53 crore from September 1, 2016 to July 31, 2017 under accidental insurance cover offered on booking of online tickets.
Nevertheless, only a minuscule number of 25 passengers claimed insurance that amounts to Rs 2.06 crore.
The information was revealed by one Chandrashekhar Gaud, an RTI activist, from Neemach in Madhya Pradesh.
The scheme is being implemented by Indian Railway Catering and Tourism Corporation (IRCTC) in partnership with ICICI Lombard General Insurance, Royal Sundaram and Shriram General.
The RTI reply also states that till July 31 this year, 26,67,24,913 passengers were insured. The three companies were compensated with Rs 24,53,86,920 at a premium of 92 pase per head.
Under this scheme, the 25 insurance claims were disbursed two crore six lakh twenty thousand and fourteen rupees till July 31.
About the scheme
Around one crore train passengers have opted for the rail insurance scheme, which was announced on September 1, within the first 30 days of its launch, IRCTC said today.
The pioneering facility, which was announced in the Railway Budget 2016-17, allows a passenger to get an insurance cover of up to Rs 10 lakh on booking a train ticket online by paying just 92 paise.
The scheme offers travellers or their families compensation of up to Rs 10 lakh in the event of death or permanent total disability, Rs 7.5 lakh for permanent partial disability, up to Rs 2 lakh for hospitalisation expenses and Rs 10,000 for transportation of mortal remains in the event of death or injury from a place of a train accident or an untoward incident, including terrorist attack, dacoity, rioting, shootout or arson, as well as for short termination, diverted route and Vikalp trains.
The facility is available for all railways passengers who book the e-ticket, excluding sub-urban trains, through the IRCTCs website, irrespective of the class of the ticket.
The insurance cover is uniform for all classes and the option available through a checkbox at the time of e-ticket booking. The premium amount is automatically added to the ticket fare if the passenger opts for insurance. After the ticket booking and payment of premium, a message shall be displayed to complete the nomination details, which are necessary to settle the claims on timely basis.
Users wanting coverage for children below five years of age have to furnish details of the child at the time of booking and accordingly travel insurance premium is added to the total amount payable.
The coverage is valid from the actual departure of train from the originating station to actual arrival of train at the destination station, including the boarding and alighting process. Post-accidental medical treatment and transportation of mortal remains are also provisioned for all insured under the scheme.