Ram Kumar Verma is an honest albeit unsuccessful Insurance Agent. His poor performance and a quick settlement for Renu and her mom gets him transferred to Madhya Pradesh. During the train journey he comes across Nathu Singh, and thinking that Nathu is an emperor of sorts, gets him to insure himself for Rs.5 lakhs, to which Nathu Singh agrees. Ram Verma returns to his company and is heartily congratulated by his Manager and the General Manager even throws a party for Ram. Subsequently, the Manager realizes that the person Ram has insured is actually a wanted dacait and thug commonly known as Daku Nathiya, wanted by the police dead or alive. Fearing the collapse of the insurance company, the Manager coerces Ram to return to Madhya Pradesh and get Nathiya to cancel his insurance policy. Ram, in the interest of the insurance company, readily agrees and on the way to meet Nathiya, ends up saving Nathiya's son from a burning house, thus earning Nathiya's and his woman, Champa's gratitude. Ram finds out that Nathiya was otherwise known as Nathu Singh, a honest villager, with a beautiful wife, and a son Chander. A rich village lord, Thakur Ajit Singh, rapes and kills Nathu's wife, and as Nathu is unable to get justice, he turns into Nathiya, the dacait. Ram only wants Nathiya to cancel the policy, so that he can return home, and promises not to inform the police. Nathiya agrees to cancel the insurance policy and let Ram return home. But Sambha is not pleased with the favors being showered on Ram and rebels, and forces Nathiya to keep Ram prisoner. When Nathiya is injured, Champa asks Ram to bring in a medical doctor, and Ram brings Renu, and ultimately both Ram and Renu are also held by Sambha, while Nathiya lies unconscious. Meanwhile the police have launched a dragnet to capture Nathiya dead of alive. Will Ram and Renu return home to Ram's mother and sister, Sarla and his best friend Babu Khan? Will Nathiya and Champa survive the police dragnet?