Because of the increasing daily number of people suffering from Covid-19 infection in the country, the Insurance Regulatory and Development Authority of India (IRDAI) has mandated all general and health insurance companies to come out with a standard individual Covid-19 Health Insurance plan for consumers. This health insurance product is designed only for Covid-19, which will only cater to the health insurance needs of the people associated with this infection, and no other disease has anything to do with it.
How this product will work:
As per the guidelines issued by IRDAI, if the policyholder is found positive for the person Covid-19, the insurance company will pay the entire sum assured amount as a lump sum benefit. Suppose you buy this standard health insurance product with a sum assured amount of Rs. 3 lakhs. Now, after the next month, you are found positive for the novel coronavirus, the insurance company will pay you a lump sum of Rs 3 lakh when you are hospitalized. But, if your hospital bill is less than Rs. 3 lakhs, you can spend the remaining amount as per your convenience. If your treatment cost exceeds Rs 3 lakh, you will have to pay the additional bill amount from your pocket, that is, the insurance company will not pay. Further, it will also be necessary that your inquiry report should be confirmed by the screening centers authorized by the Ministry of Health and Family Welfare, Government of India. The report of any other private diagnostic center will not be valid.
Facilities of purchasing add-on covers:
This policy will also allow customers to purchase an add-on cover in addition to standard cover, which is called quarantine cover. In this cover, if the policyholder is quarantined in suspicion of infection with the novel coronavirus, the insurance company will have to pay you Rs 1.5 lakh as a lump sum benefit. Further, if this policyholder is found to be coronavirus positive, the remaining 50% amount will also be paid in a lump sum. However, know that the total amount to be paid on the base cover and add-on cover will not exceed 100% of the sum assured under any circumstances.
What you will get in the COVID-19 Standard Individual Benefit Based Health Policy:
The name of this policy will be the COVID-19 standard individual benefit-based health policy and further the name of the insurance company. It will be a standard personal benefit-based insurance policy that anyone can buy for themselves and their family with a sum assured of a minimum of Rs 50,000. The sum assured amount of this policy can be charged in the coefficient of Rs. 50,000 and the maximum amount is Rs. will be up to 5 lakh. The standard COVID-19 product (benefit based) policy will have a period of one year and can be renewed every year.
Moreover, those who opt for annual payment for policy prom will get an additional grace period of 30 days for payment, i.e., grace period, while all other payment options will be given a fixed period of 15 days. Customers will have 15 days after purchasing the policy, in which they can understand the policy terms and conditions and cancel the policy if they do not need a policy for any reason. The Covid-19 standard individual benefit-based health policy will also have a waiting period of 15 days.
Being a standard product among all insurance companies, each company can fix the price of this plan according to its personal underwriting terms and conditions. This means that every insurance company will have different prices for this policy. One of the major aspects of fixing the policy's premium will be its claim ratio as each insurance company team will have different analyses, and hence, the premium rates will also be different from each insurance company. The service provided by the companies may also vary due to variation in premiums.
Who Should Buy Standard Covid-19 Health Insurance:
If you already have a comprehensive health insurance plan, don't worry as your policy will cover the Covid-19 and its associated problems. But if you do not have a health insurance policy and no existing health policy you can buy, you should buy the standard Covid-19 plan as it will provide you comprehensive coverage for coronavirus. But remember that this plan will cover you only for The Covid-19, and you will continue to have a risk of cancer, diabetes, heart diseases, etc.
Keep these things in mind:
Insurance products are meant to reduce the risk of life, and Covid-19 is a tiny part of that risk. This is the right time to buy health insurance for those who do not have insurance. So remember that if you are going to buy a standard Covid-19 health policy, it will only protect you for the Novel coronavirus and will not cover other diseases. Standard Covid-19 Health Insurance Plan can live with your general health insurance policy as it also covers the loss of your income. This plan can also be purchased additionally with a comprehensive health insurance plan.
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