Agreement reinforces preferred banker status; personal accident cover enhanced to Rs 1 Cr
Srinagar : J&K Bank on Friday signed a comprehensive five-year Memorandum of Understanding (MoU) with the Government of Jammu and Kashmir to deliver tailored, hassle-free banking services and enhanced financial protection to all permanent government employees. The agreement reinforces the bank’s preferred status while expanding robust financial safeguards for employees and their dependents.
The formal pact was signed in the presence of Shailendra Kumar (IAS), Financial Commissioner and Additional Chief Secretary of the Finance Department, alongside Amitava Chatterjee, MD & CEO of J&K Bank. Ashutosh Sareen, Chief General Manager (Credit) for J&K Bank, and Mohd Youqub Ittoo, Director General (Resources) for the Finance Department, signed the document on behalf of their respective institutions. The ceremony was also attended by J&K Bank Chief General Manager Imtiyaz Ahmad Bhat, Director (Resources) Mazhar Hussain Khan, and other senior officials from both organizations.
Highlighting the administration’s core commitments during the event, Financial Commissioner Shailendra Kumar stated, “The welfare of our employees and the financial security of their families remain of paramount importance & priority for the Government of Jammu & Kashmir.This agreement brings meaningful benefits through enhanced insurance protection, preferential credit facilities and convenient banking services.” He further added, “The substantial increase in accident cover provides a stronger financial safeguard for families in difficult circumstances. We appreciate J&K Bank’s commitment to this partnership and look forward to effective implementation so that Govt. employees receive the intended benefits”
Echoing this sentiment, J&K Bank MD & CEO Amitava Chatterjee remarked, “Our longstanding relationship with the J&K Government is anchored in shared trust and a commitment to serving the people. Through this agreement, we are strengthening that trust with benefits that address the financial needs of Govt . employees and the security of their families. The enhanced insurance protection, together with customised banking and credit facilities, reflects our commitment to delivering greater value to this important relationship”
Under the terms of the new agreement, the Group Personal Accidental Insurance cover sees a major escalation from Rs 25 lakh to Rs 1 crore. The enhanced safety net also provides Rs 1.35 crore in air accidental insurance, Rs 75 lakh for permanent total disability, and Rs 55 lakh for permanent partial disability. Additional family welfare provisions feature children’s higher education grants of Rs 8 lakh for a male child and Rs 10 lakh for a girl child following an insured employee’s demise, alongside a girl child marriage cover of up to Rs 10 lakh and an air ambulance cover of Rs 10 lakh, subject to applicable terms.
The accompanying banking and credit package introduces zero-balance accounts, free international debit cards with spouse add-on cards, lifetime-free RuPay credit cards, and a 25-basis-point concession on applicable personal loan rates, subject to the prescribed benchmark floor. Furthermore, processing fees are entirely waived on personal, auto, home, and education loans. Eligible employees can also access overdraft facilities of up to six months’ salary (capped at Rs 6 lakh), collateral-free education loans of up to Rs 10 lakh for their wards, 100% financing for new cars and two-wheelers, and housing repair or renovation loans of up to Rs 10 lakh without property mortgage against a negative lien, subject to scheme guidelines.
