Singareni's Accident Insurance Scheme Sets National Benchmark with ₹1.25 Crore Coverage

Hyderabad: Since its rollout in 2024, the Singareni accident insurance programme has emerged as a significant welfare achievement, extending financial relief to more than 45 families whose members faced fatal accidents or disabilities.

The Telangana government designed the scheme to safeguard the economic interests of Singareni workers' families. Chief Minister A. Revanth Reddy and Deputy Chief Minister Bhatti Vikramarka Mallu unveiled the initiative, which encompasses coverage spanning from ₹1 crore to ₹1.25 crore.

Singareni Collieries Company Limited (SCCL) notes that this programme holds the distinction of being India's first accident insurance scheme to offer maximum coverage of ₹1.25 crore. The company reports strong backing from both workers and labour organisations.

Beneficiary families have praised the financial support, which has enabled them to manage critical obligations such as children's schooling and other long-term responsibilities after losing a breadwinner.

Banking partnerships drive implementation

The scheme functions through corporate salary accounts that Singareni employees maintain across multiple banks. Punjab National Bank, Bank of Baroda, and Indian Overseas Bank provide accident coverage capped at ₹1.25 crore, while State Bank of India, Union Bank of India, and Canara Bank extend coverage up to ₹1 crore.

With 40,275 employees receiving salaries through partner banks, the scheme operates without requiring workers to contribute premiums. The Telangana government and Singareni structured the arrangement to guarantee insurance protection while shielding employees from additional out-of-pocket costs.

The model has inspired other coal enterprises and large employers to explore comparable welfare structures for their workforce. SCCL believes the initiative has established new standards for employee security and financial protection nationally.

Substantial disbursements to bereaved families

Over the past two years, State Bank of India has transferred approximately ₹28 crore to families of 32 deceased workers. Union Bank of India has disbursed around ₹13 crore to the families of 13 employees. The programme extends beyond death benefits to encompass workers who suffer permanent or temporary disabilities resulting from workplace accidents.