Even as Coronavirus cases in India have climbed to 4,40,215,with a death toll of 14,011, the insurance regulator IRDAI has now allowed the insurers,( all Life, General and Health Insurers) to offer COVID – 19 specific short term health insurance policies, issued for a policy term of less than 12 months..
According to the IRDAI,short term health insurance policies are permitted to be devised offering health insurance cover specific to only COVID-19, .
Short term policies may be issued for a minimum term of three months to a maximum term of eleven months.In between three months and eleven months, the policy term should be in multiples of completed months, said IRDAI..
Short term policies are permitted to be offered both as individual or group products and a policy term less than three months is not permitted, said IRDAI.
With an objective of making available insurance protection to various sections of people in the prevailing COVID-19 pandemic, it is considered that short term health insurance policies providing coverages specific to COVID-19 disease is the need of the hour, said IRDAI.
Earlier, the regulator has directed all general and health insurers to offer a standard coronavirus cover by June 30 . The minimum sum assured for the product will be Rs 50,000 and it can go upto a maximum of Rs 5 lakh.
While the final details of the proposed cover is still in works,
According to the latest draft norms devised by the regulator, the standard covid-19 cover can be both indemnity and benefit -based product offering a 100% lumpsum if a policyholder is tested positive and hospitalised. The insurers have to launch the new products by July 15. .