New Delhi: Private insurance companies received a premium of around ₹46 crore in the last two years from the railway and its passengers while making a payout of only ₹seven crore in claims under the national transporter’s travel insurance scheme, an RTI has found.
IRCTC, which is a wholly-owned undertaking of the Ministry of Railways, has entered into an agreement with three private insurance companies through limited tender – Shriram General Insurance Company Ltd, ICICI Lombard General Insurance Company Ltd and Royal Sundaram General Insurance Company Ltd for its Optional Travel Insurance Scheme which was launched in September 2016 with a premium of ₹0.92 per passenger.
This facility is for confirmed/RAC railway passengers who booked e-ticket through the official website of Indian Railway Catering & Tourism Corporation (IRCTC).
Under the scheme, a sum assured is paid to the victim/family or legal heir of the victim as the case may be in case of death/injury of reserved passengers due to train accident/untoward incidents.
While the national transporter bore the insurance premium till August 31, 2018, the cost was transferred to passengers since and the premium was revised to ₹0.49 per passenger in October 2018.
According to the RTI reply received by Madhya Pradesh-based social activist, Chandra Shekhar Gaur, while IRCTC has paid ₹38.89 crore to insurance companies, passengers have so far paid ₹7.29 crore in the past two years.
The travel insurance provides coverage of ₹10 lakh for death and permanent total disability arising out of any train accident or other untoward incident. For permanent partial disability you get ₹7.5 lakh. The ₹2 lakh coverage for hospitalization expenses for injury is over and above the death or disability coverage.
Acts like accident, robbery, dacoity and other violent acts during the train journey are covered by the policy.
Insurance companies received 206 claims in the two years, while 72 were rejected.
Officials, when contacted, said claims were less in the last two years as the number of rail accidents had dipped significantly. Railway accidents have decreased from 118 in 2013-14 to 104 in 2016-17, to 73 in 2017-18 and further to 59 in 2018-19.
Railways are also carrying more passengers – there is an increase of 2.09% in the number of passengers carried by the Indian Railways during 2017-18 as compared to 2016-17 and 0.64 per cent increase in 2018-19 as compared to 2017-18.
Top Up Insurance for Canadians
Top up travel insurance is an effective option in the event you already have insurance, but don’t have coverage for the entire time period that in fact you’re away. This type of travel insurance plan is definitely worthwhile in case you have work or charge card insurance which can only cover you for the beginning part of your trip.
Using your primary insurance plans for your 1st part of your journey, and acquiring a top up plan for the rest, might be greatly less costly than investing in a brand-new policy for the entire time period.
Baggage
Baggage insurance protects you and your loved ones in case your luggage is lost, stolen, or rescheduled. The benefit you can get from baggage insurance ranges from about $500 to $2000 per consumer, relying on your plan.
Your home insurance coverage quite often gives you some protection for your assets while you are traveling, but they in all likelihood will likely not cover baggage delays.
Medical Evacuation
Emergency medical evacuation insurance is especially necessary if you’re going on a cruise or if you happen to be paying a visit to a remote location. If you fall ill aboard a cruise, an emergency medical evacuation by way of a helicopter can easily cost $150,000.
Emergency health evacuation insurance can pay for transportation to the closest medical facility or alternatively back to your point of departure. Having said that, all insurance policies call for pre-approval by way of qualified medical expert. While medical evacuation is covered in many medical travel insurance policies, you can buy separate medical evacuation insurance cover plan.
Be mindful if you’re considering obtaining insurance plans coming from the cruise company. Many cruise companies do not include medical evacuation insurance cover plan inside their travel insurance policies.
Pre-Existing Conditions
If you have a pre-existing health condition (including diabetes or alternatively heart issues), a policy that allows for coverage when it comes to pre-existing conditions is a must have. A pre-existing condition is a health problem you might already had when trip started, even if you didn’t have the problem at the time you obtained your insurance.
Insurance policies who will allow for pre-existing medical conditions are typically more costly, nonetheless, at the very least, you’ll be covered in the event you have a medical disaster associated with your pre-existing condition. Any condition that in fact appears from the time you acquire your insurance plan to the time period you begin your vacation can be considered to be a pre-existing condition, even if you didn’t know about it at the time you purchased your insurance plan.
Being pregnant will often be viewed as a pre-existing condition by many travel insurers.
Accidental Death and Dismemberment
Accidental death and dismemberment is a worthwhile type of travel insurance, and is generally speaking (though not guaranteed to be) covered in emergency medical travel insurance policies. This type of travel insurance will take care of you for injuries you get while riding as a fare-paying passenger on an airplane, helicopter or common carrier (a bus, boat, or even train). There’s also a death benefit that is paid out (generally between 10,000 to 25,000) if you pass away on your voyage.
In keeping with its less than lovely title, an accidental death and dismemberment policy can pay you a set amount if you lose an arm or leg (or other part of your body) while on vacation.
