A senior police officer said militants opened fire at the escort vehicle of the Minister for Law and Parliamentary Affairs Ali Mohammad Sagar outside his ancestral home in Nawab Bazzar locality in Srinagar.
"One policeman was killed and three others including two cops and one civilian were injured in the attack," the officer said. He said the minister was safe and more reinforcements have been rushed to the area to escort him back to his official residence.
Sources said the minister's motorcade had just reached his ancestral home and he was entering the house when the militants opened fire at the escort vehicle.
Senior police and paramilitary officers have rushed to the area, which has been surrounded for searches.
Jammu and Kashmir Chief Minister, Omar Abdullah has been advocating withdrawal of the Armed Forces Special Powers Act from Srinagar and central Kashmir's Budgam town.