The Hindu Business Line : Kin of blast victims can claim up to Rs 4 lakh from Railways

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Kin of blast victims can claim up to Rs 4 lakh from Railways

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The insurance policy is being run by the four public-sector insurance companies but is being administered by United India Insurance. Families can claim up to Rs 4 lakh in the case of death

Mumbai , July 12

Families that have been affected in the Mumbai bomb blasts can claim compensation through the `passenger liability insurance' from the Indian Railways. The Railways is bound by its Act to pay liability claims of passengers as well as platform ticket holders in the case of accidents.

Under the policy, families of the victim can claim up to Rs 4 lakh in the case of death and permanent disability.

The loss of either the eyes or limbs would for instance qualify as permanent disability. Victims can also claim between Rs 80,000 and Rs 1 lakh in the event of injuries.

The policy is being run by the four public-sector insurance companies but is being administered by United India Insurance Company.

According to an official of United India Insurance, the claimant has to approach the Railway Claims Tribunal and submit identification as well as other documents required in the prescribed format. The judge of the tribunal will then take a decision on the award and refer the case to the insurance company.

There are currently 21 Railway Claims Tribunals located across the country. The compensation can be received within six months.

Insurance company officials said the claims experience of policy, which has been running since 1994-95 has not been favourable.

"The claims ratio has been more than 100 per cent given the number of railway accidents that occur. While rail accidents account for major number of claims, untoward incidents like passengers falling off the train or being run over by a running train are also common," said an official from a public sector insurance company.

Officials also added that Mumbai figured notably under the category of claims from untoward incidents.

The premium paid by the Indian Railways for the policy is around Rs 40 crore per annum and is due for renewal in August. This policy is currently reinsurance driven, officials said.

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