Travel Insurance No Longer Free For Indian Railways Passengers

Indian Railway passengers buying tickets online or on the rail connect app will now have to pay separately (optional) for insurance benefits, according to the Indian Railway Catering and Tourism Corporation (IRCTC). The system has come into force from September 1.

IRCTC has withdrawn the free mandatory travel insurance cover for passengers buying tickets online or on the app. The booking site now offers an option to passengers to decide if they want insurance cover. While buying tickets, the option has to be filled in manually.

Earlier, IRTC used to provide insurance coverage to all passengers who held confirmed and RAC tickets booked online. However, passengers with waitlisted tickets were not provided the coverage even if their tickets got confirmed later on. Under the scheme, passengers were covered up to @INR 10 lakh in case of death or permanent disability caused by train accidents, up to @INR 7.5 lakh for permanent partial disability, up to @INR 2 lakh for hospital expenses for injuries, and @INR &nbsp10,000 for transporting a victim&rsquos mortal remains, according to reports.

An official release from IRCTC has said that the insurance policies are contractual obligations between the insurance company and the passenger. In case, a passenger opts for insurance, the claim/liability shall be between passenger and the insurance company. The insurance company is responsible for policy issuance and claims settlement.

The release also said that the scheme is applicable only for Indian Citizens who book their e-ticket through NGeT Website Application only. Citizens of foreign countries are not eligible for this scheme. It is optional, however if the option is exercised it will be compulsory for all passengers booked under one PNR number. The premium with effect from September 1 is 68 paisa per passenger inclusive of all taxes. The optional travel insurance will not be provided for the children below 5 years of age.

Once the premium is paid by the passengers no cancellations are allowed. Accordingly, no refund of premium will be made in all cases including waitlisted ticket, the IRCTC release said.

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