SBI Salary Accounts : In a significant benefit for salaried individuals, the State Bank of India (SBI) offers a free accident insurance cover of up to ₹1 crore to those holding specific types of SBI salary accounts. This move not only ensures financial protection in case of unforeseen events but also adds great value to maintaining a salary account with SBI. Many customers are unaware of this benefit and miss out on availing it. In this article, we’ll break down everything you need to know about this high-value accident insurance – eligibility, coverage details, how to claim, and more.
What Is SBI Salary Account Insurance?
SBI offers Personal Accident Insurance (PAI) to its salary account holders. This coverage is linked to various salary account variants like Corporate Salary Package (CSP), Defence Salary Package, Police Salary Package, and more. Under this benefit, the nominee gets a lump sum amount in case of the account holder’s accidental death.
Key Features:
- Free accident insurance cover up to ₹1 crore
- No additional cost or premium to be paid by the account holder
- Available for select salary account variants only
- Requires salary credit in the preceding month
- Nominee receives the claim in case of accidental death
Who Is Eligible for ₹1 Crore Accident Insurance?
The eligibility is tied to the type of salary account and the status of salary credit.
General Eligibility Conditions:
- The account must be an SBI Salary Account under specific packages
- Regular salary credit is mandatory (usually in the previous calendar month)
- Accident should be reported and claimed within stipulated time frame
- The account holder must be below a certain age as per policy norms
Eligible Account Types:
| SBI Salary Account Type | Insurance Cover Amount | Minimum Monthly Salary Credit | Special Notes |
|---|---|---|---|
| Platinum Tier CSP | ₹1 crore | ₹1 lakh or more | Requires salary credit last month |
| Gold Tier CSP | ₹50 lakh | ₹50,000–₹99,999 | |
| Silver Tier CSP | ₹30 lakh | ₹20,000–₹49,999 | |
| Basic CSP | ₹20 lakh | ₹10,000–₹19,999 | |
| Defence/Paramilitary Package | ₹30 lakh – ₹1 crore | No minimum limit | Depends on rank and package |
| Police Salary Package | ₹30 lakh – ₹50 lakh | No minimum limit | |
| Central Govt/PSU Salary A/c | ₹30 lakh – ₹50 lakh | Based on designation |
How to Avail the Insurance Cover?
You do not need to buy this insurance separately. It is automatically available if the salary account is active and compliant with conditions.
Steps to Ensure You Are Covered:
- Maintain your salary account actively
- Ensure your employer credits your salary every month
- Keep your account KYC updated
- Check your package tier with the SBI branch if unsure
- Keep nominee details updated
What Is Covered Under the Insurance?
The SBI Salary Account accident insurance covers death due to accident, including road accidents, falls, and other fatal incidents defined under the policy.
Coverage Includes:
- Accidental death only (natural death is not covered)
- 24×7 worldwide coverage
- Full claim settlement to nominee
- Immediate family financial protection
Not Covered:
- Natural death or death due to illness
- Suicide or self-inflicted injuries
- Death during illegal activities
How to File a Claim?
In the unfortunate event of the account holder’s accidental death, the nominee must approach the bank and insurance company with proper documentation.
Documents Required:
- Death certificate
- FIR and post-mortem report (if applicable)
- Salary account statement showing last salary credit
- Insurance claim form (provided by SBI)
- Identity and relationship proof of nominee
Claim Process Flow:
| Step | Action | Time Frame |
|---|---|---|
| 1 | Inform SBI and insurance provider | Within 30 days |
| 2 | Submit all required documents | As early as possible |
| 3 | Insurance company processes claim | 30–60 working days |
| 4 | Claim credited to nominee’s a/c | Post-approval |
SBI SCSS FD : Fixed ₹8,000 Income Every Month for Senior Citizen, Apply Before 31st May 2025
Important Things to Remember
- This insurance is not valid if there is no salary credit in the previous calendar month
- Account must be classified under an active salary package – not a savings account
- Ensure your account is not downgraded due to inactivity or conversion
- Check with SBI branch or net banking about your salary package status
Frequently Asked Questions (FAQs)
Q. Is this insurance available for private employees?
Yes, if your company has a tie-up with SBI for Corporate Salary Package (CSP), you are eligible.
Q. Do I need to pay for this insurance?
No, it is offered free with eligible salary accounts.
Q. Can I avail this benefit with an inactive salary account?
No, your account must have an active salary credit in the last calendar month.
Q. What if I change my job?
If the salary stops being credited and the account is converted into a savings account, the insurance benefit ceases.
SBI’s ₹1 crore accident insurance on salary accounts is a valuable financial safety net that comes at no extra cost. However, to enjoy this benefit, it’s crucial to maintain an active salary relationship with SBI and ensure your account is part of a recognized salary package. If you or your loved ones have an SBI salary account, take a moment to check your eligibility and update nominee details—it might just offer the financial security your family needs in a crisis.
The information provided in this article is for general understanding and reference. The terms of the insurance may vary depending on SBI’s latest policies and the type of salary package. Please confirm with your SBI branch for updated eligibility and claim procedures.
How can I be eligible for the ₹1 Crore Accident Insurance on SBI Salary Accounts?
To be eligible, you typically need to hold an SBI Salary Account meeting specific criteria like maintaining the required balance. Check with SBI for detailed eligibility requirements.
