The next time you miss a bus, there could at least be some consolation. You could get the money back. Paytm, the mobile wallet and ecommerce company, is working on a plan to introduce insurance cover for bus passengers against a range of risks, such as accidents, missed travel, cancellation of ticket and loss of baggage.
“We are in talks with (insurance) companies to provide insurance cover for bus passengers,“ said Shankar Nath, Paytm’s senior vice-president.“At the same time, we are talking to various private bus hiring services like AP travels.“ The passenger would be given an option to choose the insurance cover and the premium would be bundled with the bus fare, as in the case of domestic air travel, Nath said.
Around 30,000 tickets are booked daily on Paytm’s platform. The aver . 500.age fare is ` The travel insurance business in India is worth ` . 400-500 crore and the cover is mostly taken by those who travel abroad. While the government is talking to insurance companies to introduce personal accident and baggage loss cover to railway passengers, the bus travel segment is yet to open up to the idea.
“There is not enough education and the risk perception is very low,“ said Sanjay Datta, head of motor insurance underwriting at ICICI Lombard General Insurance. “Domestic travel insurance is a negligible business.“
For domestic air travel, the premium is around ` . 150 and the policy is valid for 30 days or till the date of return journey for passengers between the age group of 1 and 70.
When travelling overseas, people usually see travel insurance as a short-term mediclaim, to cover treatment towards any injury or illness suffered while they are abroad.
Source: Economic Times