Millions of people travel by train daily in India, making Indian Railways a vital part of life. However, accidents do happen. Whether it’s a train collision, derailment, or an unexpected mishap, passengers and their families may be entitled to financial compensation. The Indian Railway Catering and Tourism Corporation (IRCTC) and Indian Railways provide financial relief in case of injuries or deaths caused by train accidents.
In 2025, knowing your rights and understanding the compensation process is essential. This guide explains when and how passengers can receive financial help, who qualifies, and the amount they can expect.
When Does IRCTC Provide Train Accident Compensation?
Not every accident qualifies for compensation. Indian Railways follows the Railways Act, 1989, which divides incidents into two categories:
1. Train Accidents
These are large-scale incidents that directly involve a running train, such as:
- Collisions – Two or more trains crash into each other.
- Derailments – A train goes off the tracks.
- Fire or Explosions – Damage caused by onboard fires or blasts.
2. Untoward Incidents
These are unexpected events that cause harm but are not full-scale accidents. Examples include:
- Terrorist attacks or violent crimes on the train.
- Robbery or theft-related injuries suffered during a train journey.
- Accidental falls – A passenger slips while boarding or exiting the train.
However, passengers who deliberately break rules (such as crossing tracks illegally or attempting suicide) are not eligible for compensation.
Who Can Get Train Accident Compensation?
1. Passengers with a Valid Ticket
To qualify for compensation, the injured or deceased person must have had a valid train ticket. This includes:
- People traveling on reserved or unreserved tickets.
- Passengers with a platform ticket (if injured at the station).
2. Dependents of Deceased Passengers
If a passenger dies in a train accident, their legal heirs or nominees can claim compensation. The following people are eligible:
- Spouse and children (minors through a guardian).
- Parents (if the deceased was unmarried and had no children).
- Nominees (if declared during ticket booking).
3. Railway Employees on Duty
If a railway worker dies or gets injured while working, their family can claim compensation just like regular passengers.
Who is NOT Eligible?
- Trespassers (People walking or crossing tracks illegally).
- Suicide attempts (Self-harm is not covered).
- Medical emergencies (A heart attack during a train journey does not qualify unless linked to an accident).
How Much Compensation Can You Get?
The government has set specific amounts under the Railway Accidents and Untoward Incidents (Compensation) Rules, 2016. The payouts are:
1. Death Due to Train Accident
- ₹8 lakh for dependents of a deceased passenger.
- Additional compensation may be announced by the government in high-profile cases.
2. Permanent Total Disability
- ₹8 lakh for severe disabilities like total blindness or paralysis.
3. Permanent Partial Disability
- ₹2 lakh to ₹7.5 lakh, depending on the severity of the injury. Examples:
- Losing one arm: ₹4 lakh
- Losing one eye: ₹3.2 lakh
- Losing a thumb: ₹1.6 lakh
4. Minor Injuries & Hospitalization
- ₹2 lakh for serious injuries requiring hospitalization.
- ₹25,000 for minor injuries like sprains or small fractures.
IRCTC Travel Insurance: Extra Coverage for Just 35 Paise
When booking an online ticket through IRCTC, passengers can opt for insurance at 35 paise per ticket. This provides extra coverage:
- ₹10 lakh for death or total disability.
- ₹7.5 lakh for partial disability.
- ₹2 lakh for hospitalization expenses.
- ₹10,000 for transportation of mortal remains.
Important: This insurance is only for passengers who book tickets online through IRCTC. People who book at railway counters cannot get this insurance.
Immediate Relief: Ex-Gratia Payment
Indian Railways also provides ex-gratia relief (emergency financial aid) in serious accidents. This is different from formal compensation and does not affect the final payout.
- ₹50,000 for death.
- ₹15,000 for serious injuries.
- ₹5,000 for minor injuries.
For example, after major accidents like the Balasore train crash in 2023, the government provided extra relief payments in addition to the ₹8 lakh compensation.
How to Claim Compensation?
Step 1: Report the Accident
- Passengers or family members should report injuries or deaths to railway officials.
- Keep important documents like the train ticket, medical records, and death certificate ready.
Step 2: File a Claim at the Railway Claims Tribunal (RCT)
- Claims must be filed with the Railway Claims Tribunal (RCT), which has offices in major cities.
- Applications can be submitted online or at the nearest tribunal office.
- Documents required:
- Copy of the train ticket.
- Medical proof (for injuries).
- Death certificate (for fatalities).
- Legal heir certificate (for dependents).
Step 3: Tribunal Review & Compensation Approval
- The tribunal examines the case and decides the compensation amount.
- If approved, the money is transferred to the beneficiary’s bank account.
Step 4: IRCTC Insurance Claim (If Opted)
- If the passenger had IRCTC travel insurance, the family must contact the insurance provider (e.g., ICICI Lombard, Royal Sundaram).
- This process is faster than RCT claims, often settling within weeks.
Why Do Compensation Amounts Differ?
Various factors affect compensation:
- Negligence – If the passenger was at fault (e.g., drunkenly falling off a train), the claim is rejected.
- State & Central Aid – Sometimes, state governments provide extra relief (e.g., Odisha government gave ₹5 lakh per victim in the 2023 train accident).
- Processing Delays – The Railway Claims Tribunal has a backlog of cases, causing delays.
Final Thoughts
Train accidents are rare but devastating. Compensation from IRCTC and Indian Railways helps victims and their families recover financially. Passengers should always book tickets online and opt for insurance to maximize their benefits in case of an unfortunate event. Knowing your rights can make all the difference in getting the help you deserve.
