Hyderabad: The Insurance Regulatory and development Authority of India (IRDAI) has mandated that indentity-based health insurance products, which cover costs of hospitalization or treatment, are applicable for treatment of COVID-19 as well. The insurance regulatory authority, in a statement released in the first week of April, has clarified this in the wake of the novel coronavirus pandemic.
The IRDAI said, “In the context of outbreak of COVID 19 pandemic, it is clarified to the public, that indemnity based health insurance products that cover the treatment costs of hospitalization offered by all general and health insurance companies cover the costs of hospitalization treatment on account of COVID -19.”
The insurance regulatory body has further stated that all claims regarding COVID-19 will be handled promptly. With regard to the costs involved in the treatment, the insurance body said that, “Costs of admissible medical expenses during the course of treatment including the treatment during quarantine period shall be settled in accordance with the applicable terms and conditions of policy contract and the extant regulatory framework.”
These instructions areunder the provisions of Section 14 (2) (e) of IRDA Act, 1999.
In addition to this, IRDAI has issued clearance to 29 general and health insurance companies to market Aarogya Sanjeevani. The standard health insurance policy meant to provide basic health cover between the range of Rs 1 lakh and Rs 5 lakh. This policy offered by 29 general and health insurers also covers the hospitalization treatment costs of COVID – 19.