New Delhi. An express train was hit from behind by a freight train in Darjeeling, West Bengal on Monday, killing 15 passengers. In such unfortunate incidents, a travel insurance policy available for just 45 paise during ticket booking plays a vital role. However, choosing this insurance policy during online booking is optional. This policy provides coverage from the insurance company to the injured passengers or the families of the victims depending on their situation.
What is travel insurance coverage?
According to IRCTC, if a passenger holding a 45 paise travel insurance policy dies in a train accident, the insurance company provides an amount of Rs 10 lakh to the nominee of the passenger. In case of complete permanent disability, the passenger is also entitled to Rs 10 lakh. For partial permanent disability, the compensation is Rs 7.5 lakh. Additionally, Rs 2 lakh is provided for hospitalization expenses due to injuries and Rs 10,000 for carrying the body of the deceased.
For travel insurance purposes, an accident is defined as an event occurring during railway operations including a collision between passenger trains or the derailment of any part of a train carrying passengers. It also includes any accident occurring during the operation of a passenger train from departure at the originating station to arrival at the destination station.
Understanding Claims
According to IRCTC, benefits under this travel policy are disbursed within 15 days of receiving the last required documents. The insurance company is not liable for any insurance benefits if there is a breach of obligations. All claims under this policy are paid in Indian currency. If there is a delay in payment for more than 7 days after the settlement offer is accepted by the policyholder, the insurance company is liable to pay interest at a rate of 2% above the bank rate prevailing at the beginning of the financial year in which the claim is reviewed. Claims relating to hospitalization are not accepted if the hospitalization occurs more than 365 days after the policy expiry date. Additionally, no liability is accepted under the policy if the claim is fraudulent or supported by means of fraud.