Indian Railways and SBI Ink Historic MoU to Offer Rs 1 Crore Insurance Cover to Employees
In a landmark move aimed at bolstering employee welfare, Indian Railways and the State Bank of India (SBI) have signed a Memorandum of Understanding (MoU) to provide enhanced insurance coverage for railway personnel.
The agreement, formalized in the presence of Railway Minister Shri Ashwini Vaishnaw, Railway Board Chairman Shri Satish Kumar, and SBI Chairman Shri C.S. Setty, marks a significant upgrade in financial protection for nearly 7 lakh railway employees holding SBI salary accounts.
Under the new scheme, employees will be eligible for Rs 1 crore in accidental death coverage—an exponential leap from the existing CGEGIS benefits, which offer Rs 1.20 lakh for Group A, Rs 60,000 for Group B, and Rs 30,000 for Group C staff. Additional benefits include:
- Rs 1.6 crore cover for air accident deaths
- Up to Rs 1 crore via RuPay debit card insurance
- Rs 1 crore for permanent total disability
- Up to Rs 80 lakh for permanent partial disability
- Rs 10 lakh for natural death, provided without premium or medical examination
This initiative is especially impactful for frontline Group C employees, who previously had minimal coverage.
The MoU sets a new benchmark in institutional collaboration, reflecting a compassionate, employee-first approach to social security and financial resilience.
