J&K Bank has raised group personal accident cover from Rs 25 lakh to Rs 1 crore and added cheaper loans, fee waivers and enhanced family protections for Jammu and Kashmir government employees.
Jammu and Kashmir Bank has signed a five-year agreement with the Jammu and Kashmir government to expand banking services and financial benefits for permanent state employees, deepening a relationship the lender says has long been central to its business. The pact, signed in Srinagar on October 23, will give eligible employees and their families a wider package of insurance cover, cheaper borrowing and fee waivers across several banking products.
According to the bank, the arrangement strengthens its role as the government’s preferred banker while adding new protections that could prove especially significant for households faced with illness, disability or bereavement. The MoU was signed in the presence of Shailendra Kumar, the finance department’s additional chief secretary, and Amitava Chatterjee, the bank’s managing director and chief executive. Ashutosh Sareen, chief general manager for credit, signed for the bank, while Mohd Youqub Ittoo, director general for resources in the finance department, signed for the government.
Kumar said the administration viewed employee welfare and family security as a priority, and described the agreement as one that would improve insurance protection, credit access and day-to-day banking convenience. Chatterjee said the bank’s expanded offering reflected a longstanding partnership with the government based on trust and public service.
The most notable change under the agreement is a sharp rise in group personal accident cover, which the bank says will increase from Rs 25 lakh to Rs 1 crore. The package also includes air accident cover of Rs 1.35 crore, permanent total disability cover of Rs 75 lakh and permanent partial disability cover of Rs 55 lakh. In addition, the bank says the plan provides higher education support of Rs 8 lakh for a son and Rs 10 lakh for a daughter if the insured employee dies, along with marriage assistance of up to Rs 10 lakh for a daughter and air ambulance cover of Rs 10 lakh, subject to terms and conditions.
On the banking side, the package promises zero-balance accounts, free international debit cards with spouse add-on cards, and lifetime-free RuPay credit cards. The bank also said employees will receive a 25-basis-point discount on eligible personal loan rates, subject to the benchmark floor, and no processing fees on personal, auto, home and education loans. Other features include overdrafts of up to Rs 6 lakh, capped at six months’ salary, collateral-free education loans of up to Rs 10 lakh for employees’ children, full financing for new cars and two-wheelers, and repair or renovation loans of up to Rs 10 lakh without a property mortgage but against a negative lien.
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