The Finance Department of Nagaland has signed a landmark Memorandum of Understanding (MoU) with the State Bank of India (SBI) for an enhanced State Government Salary Package (SGSP), aimed at significantly improving salary-related benefits for permanent State Government employees holding salary accounts with SBI.
According to the Finance Department, the MoU—signed on March 27, 2025—will cover all eligible government employees en bloc, offering a comprehensive suite of free insurance and benefit schemes under the upgraded SGSP. The initiative has been described as a welfare-oriented move with life and accident insurance coverage as its cornerstone.
Among the key features of the SGSP are:
· Accidental Insurance Cover of up to Rs 1 crore for the employee’s family in case of accidental death.
· Air Accidental Insurance Cover of up to Rs 2.1 crore in case of the employee’s death in an air accident.
· Disability Cover of up to Rs 1 crore for permanent total disability, and up to Rs 80 lakh for permanent partial disability.
· Group Term Life Insurance of up to Rs 10 lakh.
· Child Education Benefit and Girl Child’s Marriage Benefit, both applicable under the admissibility of Personal Accidental Insurance (Death) cover.
· Add-on benefits, including coverage for plastic surgery in case of burns, import of medicines, ambulance charges, transportation of mortal remains, and more.
· SBI RISHTEY scheme, which allows up to four family members to open Family Savings Accounts, each with Rs 5 lakh Personal Accidental Insurance cover (except minors).
These benefits come at no cost to employees and apply to all those already holding SBI salary accounts under the government service bracket.
The Finance Department has urged all government employees to verify with their bank branches whether their accounts have been tagged under the SGSP category and to insist on conversion if not. Those already converted to SGSP should confirm the account variant, which depends on the net salary, with their home branch.
In the event of accidental death or disability, family members are advised to contact the Finance Department or the P&AR Department via the Nodal Contact Number: +91 9863582066 for guidance and claims processing.