Coal India: Rs 1 Cr Accidental Insurance for Employees

New Delhi, Sep 16 (PTI) The government on Tuesday announced personal accidental insurance coverage of Rs 1 crore for regular employees of Coal India and Rs 40 lakh for its contract workers.

The insurance coverage was announced as part of the new corporate salary package, which was launched by Coal and Mines Minister G Kishan Reddy on Tuesday.

The government has also increased the ex gratia amount for mine accident fatalities from Rs 15 lakh to Rs 25 lakh, according to a statement.

"The Corporate Salary Package...marks a significant advance in financial security for Coal India's employees.

"The package provides Rs 1 crore personal accident insurance coverage for regular employees and Rs 40 lakh for contract workers, with 2.15 lakh regular employees and 44,000 contract workers already enrolled under the scheme," the coal ministry said in the statement.

It has been implemented through a memorandum of understanding with 10 public sector banks and the Chhattisgarh State Gramin Bank, ensuring wide access and efficient delivery of benefits. Employees are not required to pay any premium. The benefits are provided directly through partner banks, making it a genuinely welfare-oriented initiative, it added.

The PSU, as part of its 'We Care' initiative, has increased the ex gratia amount payable in the unfortunate event of mine accident fatalities from Rs 15 lakh to Rs 25 lakh.

This enhanced compensation applies equally to regular employees and contract workers and will be paid directly to the families of the deceased.

"While 'Zero Harm' remains the mission, the enhanced ex gratia reflects Coal India's resolve to act swiftly and with compassion when a loss occurs and to stand firmly with the families affected," the statement said.

Coal India accounts for over 80 per cent of domestic coal output.

Alongside these welfare measures, the new uniform was launched to promote a shared identity, professionalism and a safety culture among Coal India employees.

Meanwhile, Hindustan Copper Ltd (HCL), a PSU under the Mines Ministry, has also introduced a group personal accident insurance policy for its contractual workers, providing coverage of Rs 20 lakh.

HCL has partnered with the State Bank of India to launch a 'Group Personal Accident Insurance Scheme' for all regular employees under its Corporate Salary Package, the Mines Ministry said in a separate statement.

This initiative provides comprehensive accident insurance coverage (on-duty and off-duty) of Rs 1 crore for all regular employees of Hindustan Copper Ltd.

To strengthen the corporate identity as a united workforce, HCL has introduced a common uniform for all employees across its units and offices.