The Karnataka State Road Transport Corporation (KSRTC) has announced a significant increase in financial support for the families of its employees. From 1 September, 2025, compensation under the Employee Family Welfare Scheme for deaths caused by non-accidental reasons will rise from Rs 10 lakh to Rs 14 lakh.
In a first, the State Bank of India (SBI) has partnered with KSRTC to add an additional benefit of Rs 6 lakh in such cases. With this partnership, the total compensation for families of employees who die due to medical conditions such as heart attacks, cancer, kidney failure, or other non-accidental causes will now stand at Rs 20 lakh.
KSRTC already provides accident insurance coverage of Rs 1 crore in cases of personal or duty-related fatalities. The new enhancement is seen as part of its continued commitment to employee welfare and family security.
The revision follows a steady increase in benefits over the past few years. Earlier, compensation in such cases was only Rs 3 lakh. This was revised to Rs 10 lakh from 1 October, 2023. Since then, KSRTC has disbursed Rs 10 lakh each to the families of 157 employees who passed away due to medical conditions or other natural causes.
Officials said the latest revision reflects KSRTC’s focus on strengthening its welfare schemes and providing a stronger safety net to its workforce. The corporation emphasised that employees are its backbone and ensuring financial protection for their dependents remains a priority.
The new arrangement, supported by SBI, is expected to bring relief to families coping with loss and strengthen the trust between KSRTC and its employees.
