Insurance Regulatory Development Authority of India (IRDAI) announced the guidelines for two standard covid-19 health insurance policies with uniform features and terms and conditions. Insurance companies will offer “Corona Kavach” and “Corona Rakshak” from 10 July in order to help people in fight against the pandemic.
With one policy being the regular indemnity policy covering the disease tenure ranging from 3.5 months to 9.5 months and other is an optional standard benefit cover with a fixed pay amount.
According to IRDAI the minimum sun insured in corona kavach policy will be Rs 50,000 and maximum would be 5 lakhs, and a special five percent discount will be applicable for the healthcare workers, and for the corona rakshak the minimum amount would also be 50,000 and maximum will be 2.5 lakhs.
Corona Kavach policy will be an indemnity-based policy and the optional cover will be based on the benefits. It will cover the base treatment expenses like of hospital room charges, ppe kit expenses, and even AYUSH treatment, it will also cover the homecare expenses of the treatment up to 14 days including the expenses of the devises like oximeter and nebulisers.
Corona Rakshak, a single premium plan which will pay out lump-sum amount of the 100 percent sum insured if the policy holder is hospitalized for 72 hours after testing positive for covid-19.
This move was taken by the IRDAI after it turned out that only around 8500 medical insurance claims were paid by the insurance companies for the cases of corona, which is disproportionately lower than the number of the corona cases in the country. The reasons found were that many of the cases were asymptomatic and the insurers also pointed out the low health insurance penetration in the country.