The Old System: An Online-Only Option
Until now, travel insurance for train journeys was a privilege largely reserved for those who booked their tickets online. Passengers using the Indian Railway Catering and Tourism Corporation (IRCTC) website or app could opt for travel insurance for a nominal
fee of just 45 paise. This scheme, however, was not available to passengers who purchased their tickets physically at railway station reservation counters. This created a significant disparity, leaving a large segment of travellers, often those with limited digital access or from lower-income groups, without a financial safety net in case of an untoward incident. The Supreme Court noted that despite giving authorities ample time to create a similar mechanism for counter bookings, no progress had been made.
What the Supreme Court Has Ordered
A Supreme Court bench of Justices Ahsanuddin Amanullah and R. Mahadevan issued a directive on October 6, 2026, making it mandatory for Indian Railways to provide insurance coverage for all tickets sold at counters. This order came during hearings related to railway safety, which were initiated following the tragic Odisha train accident in June 2023. The court mandated that the new rule must be implemented by October 27, 2026, and stated that the Railway Board would be held directly responsible for any failure to comply. This decision aims to ensure equal access to protection for all passengers, regardless of their booking method.
What the Insurance Covers
The insurance now being extended to counter tickets is expected to mirror the coverage offered for online bookings. Under the existing scheme, this provides significant financial support. The policy offers coverage of up to ₹10 lakh for death or permanent total disability resulting from a train accident or other specified untoward incidents. It also includes up to ₹7.5 lakh for permanent partial disability and up to ₹2 lakh for hospitalisation expenses due to injury. Additionally, the policy provides ₹10,000 for the transportation of mortal remains. This coverage applies to confirmed, partially confirmed (RAC), and waitlisted passengers, offering a crucial layer of financial security.
What This Means for You
Starting October 27, 2026, if you buy a ticket at a railway counter, it will automatically come with insurance coverage. While the existing online insurance is optional for a 45-paise premium, the Supreme Court's order implies this coverage will be mandatory for counter tickets. However, Indian Railways has not yet clarified the exact mechanism for how this will be implemented. Key details, such as whether the ticket price will include a nominal insurance premium and how passengers will receive their policy documents and make claims, are still awaited. Passengers should pay close attention to announcements from the Railway Board for the final procedures. For now, the ruling ensures that the right to insurance is no longer determined by how you purchase your ticket.
