UP Govt Employees to Get Rs 1 Crore Accident Cover
UP Govt proposed accident cover brings a significant financial safeguard for state employees, with coverage of up to Rs 1 crore.
UP Govt employees are set to receive accident insurance cover of up to Rs 1 crore, offering enhanced financial protection against accidental death and disability.
UP Govt: The Uttar Pradesh government has signed a memorandum of understanding (MoU) with Axis Bank under which eligible state government employees will be offered a dedicated salary account carrying personal accident insurance of up to Rs 1 crore, according to a statement issued by the government’s media cell on Friday.
The agreement was signed by the state’s Secretariat Administration Department. Besides accident cover, the package includes an additional health insurance cover, an education benefit for dependent children and a term life policy.
UP Govt: What the Axis Bank package offers
Under the MoU, employees can access additional health insurance cover of up to Rs 30 lakh at a premium of Rs 7 per day, the statement said. On a 365-day basis, that works out to roughly Rs 2,555 a year.
The agreement also provides for assistance of up to Rs 8 lakh towards the education of employees’ dependent children, along with term life insurance cover of Rs 10 lakh. The salary account itself comes with a set of banking facilities and what the statement described as additional security and welfare benefits.
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UP Govt – How it fits into UP’s recent employee-cover push
The agreement is the latest in a series of insurance-linked arrangements the state has announced for its workforce this year.
In July, the Basic Education Department signed an MoU with the State Bank of India (SBI) for teachers and other staff. As reported by All India Radio, contractual employees earning above Rs 10,000 a month were offered personal accident cover of Rs 30 lakh to Rs 80 lakh. Another report said permanent employees in that category would receive Rs 10 lakh group term life cover and accident cover of up to Rs 1 crore.
Later that month, the state government signed an MoU with Punjab National Bank (PNB) for teachers and staff in higher education. UNI reported that it provides personal accident cover of up to Rs 1.5 crore, air accident cover of up to Rs 3 crore, hospital cash benefit of up to Rs 60,000 and term life cover of up to Rs 12 lakh.
Separately, the state’s Mukhyamantri Shikshak Cashless Chikitsa scheme offers cashless treatment of up to Rs 5 lakh per family to an estimated 12 lakh to 15 lakh education department staff, with the government bearing a premium of Rs 3,000 per beneficiary annually, according to media reports.
Axis Bank has signed comparable salary-account agreements with other employers. Its Maharashtra Forest Department package in 2021 included an education grant of up to Rs 8 lakh and health top-up cover of Rs 15 lakh or Rs 30 lakh for the family, priced at Rs 1,999 and Rs 2,499 respectively. Its 2022 agreement with the Food Corporation of India also carried an education grant of up to Rs 8 lakh. The bank’s standard Republic salary account for government and PSU employees lists personal accident death cover of Rs 20 lakh and air accident cover of Rs 1 crore on its website. Assam and Tamil Nadu have also signed salary-package MoUs that include Axis Bank among the participating lenders.
UP Govt: What the statement does not specify
The government statement does not state the number of employees expected to be covered or the eligibility criteria. It does not say whether the Rs 30 lakh health cover extends to family members, nor who the underwriting insurer is. It also does not give the signing date or name the signatories, or say how existing salary accounts held with other banks will be treated.
