The Supreme Court has directed Indian Railways to extend travel insurance coverage to passengers buying tickets at railway station counters from October 27, 2026. According to reports from Mint and Business Standard, a bench of Justices Ahsanuddin Amanullah and R Mahadevan pronounced the order on October 6 while hearing matters related to railway safety. The court expressed displeasure over the Railways' failure to extend insurance benefits to offline ticket buyers despite repeated opportunities and highlighted that the exclusion particularly affected economically disadvantaged passengers who often purchase tickets at reservation counters. The plea sought an inquiry into the crash, alleging that the failure to implement the Kavach train protection system had contributed to the tragedy. The court has made compliance mandatory and placed direct responsibility for any failure to implement the direction on the Railway Board.
As reported by Livelaw, the Supreme Court had given Indian Railway authorities time to devise a mechanism to extend insurance coverage to passengers buying tickets offline, including those from economically weaker sections of society. However, during the October 6 hearing, the bench noted that no meaningful progress had been made despite the Centre informing the court on May 11 that a decision had been taken to extend insurance to counter tickets. The court warned that the Railway Board would be held directly responsible for any failure to implement the order, stating that within two weeks, all tickets sold over the counter at all railway stations be covered by insurance in the same manner as tickets bought online. The court also expressed "utter disappointment and displeasure" over the conduct of Railway Ministry officials in a matter involving public safety, noting that assurances given by railway officials had remained largely on paper with no substantial change visible on the ground. During the proceedings, the court questioned the utilisation of budgetary allocations for safety improvements and sought details of expenditure and the work completed so far.
During the proceedings, the court widened its scrutiny to include several passenger safety concerns, such as the construction of foot overbridges, fencing along railway tracks and the absence of insurance coverage for tickets bought offline. The bench expressed dissatisfaction with the Railways' response to its earlier directions, observing that assurances given to the court had not translated into adequate progress on the ground. Additional Solicitor General Vikramjeet Banerjee, appearing for the Centre, sought two weeks to file a detailed affidavit outlining the work undertaken over the preceding year and explaining why prescribed targets, particularly for track fencing, had not been met. The court accepted this request and deferred its order requiring the Railway Board's top officials to appear personally before it. The bench also raised concerns over the utilisation of funds allocated for passenger safety, noting that budgetary provisions for targeted safety projects had not been fully used, despite the importance of preventing railway accidents. The court directed that "details showing that on the three issues, there has been special drive taken by the Railways, which obviously would entail making special budgetary/financial commitments towards these projects, be filed" within two months and asked the Railways to "bring on record actual progress of the work on the ground."
According to Mint and Business Standard, currently, travel insurance is only available if passengers purchase train tickets from the official Indian Railway Catering and Tourism Corporation's (IRCTC) web portal or mobile app. The coverage amounts are as follows: ₹10,00,000 for death and permanent total disability, ₹7,50,000 for permanent partial disability, ₹2,00,000 for hospitalization expenses for injury, and ₹10,000 for transportation of mortal remains. The travel insurance policy is currently available to online ticket holders on an optional basis at a premium of 45 paise per passenger, inclusive of taxes, with effect from February 17, 2024. However, passengers purchasing tickets at station counters did not have access to the same facility until the Supreme Court's directive. The court has directed that counter tickets receive insurance coverage in the same manner as online tickets, but passengers should wait for the Railways to clarify how the mandate will be implemented at reservation counters. The practical process for issuing insurance certificates, identifying insured passengers and handling claims for counter-booked tickets will depend on the mechanism implemented by the authorities.
As reported by Mint and Business Standard, Manas Kapoor, Business Head of Travel Insurance at Policybazaar, stated that making insurance mandatory for all train travellers is a welcome step towards strengthening passenger safety and financial protection. The Supreme Court's decision strengthens the importance of travel insurance and recognises it as an essential safeguard rather than an optional add-on. For millions of Indians who rely on railways as an affordable and accessible mode of transport, insurance at an affordable premium can provide crucial financial support to passengers and their families in the event of unforeseen accidents. The order seeks to close a gap between online and offline ticket bookings, with passengers who buy tickets at station counters no longer being excluded from the insurance framework simply because they do not book digitally. The immediate next step is for Indian Railways to implement the order by October 27 and clarify the arrangements for counter-booked tickets, including the premium, documentation and claims process. The court also warned that if it finds no substantial progress on safety measures by the next hearing on November 16, it may consider whether the Railway Board, as presently constituted, is fit to continue in office.
