With the increasing number of people infected with COVID-19 in India, The Insurance Regulatory and Development Authority of India (IRDAI) has directed all general and Health Insurance companies to offer a standard individual benefit-based Covid-19 Health Insurance product on or before June 30, 2020. So what will it offer? And will this be beneficial for a common man? Let’s know. 

What is this plan?

This is a standard individual benefit-based insurance policy for individuals and can be opted for families as well. The policy provides coverage of up to ₹ 5 lakh for hospitalization expenses for the policyholder if he/she gets infected with COVId-19.

The policy will be named as COVID-19 Standard Individual Benefit-Based Health Policy succeeded by the name of the company providing the insurance.

If you get infected by the coronavirus, the insurance company will be liable to pay you a lump sum amount of ₹ 5 Lakh on hospitalization. In case the hospital bill crosses the ₹ 5 Lakh the extra amount of the bill will be paid by you. To avail the benefits, the test for the coronavirus must be confirmed by hospitals and test centres authorized by the Ministry of Health and Family Welfare, Government of India.

Features of the Standard COVID -19 Health Insurance Policy

  • Cover: The insurance policy will take care of the basic COVID-19-related health needs.
  • Coverage: The policy will cover up to ₹5 in case of hospitalization for the corona infected patients. 
  • Eligibility: One can opt for this premium easily and even senior citizens up to the age of 65 years can avail of this policy.
  • Validity: The policy will be issued for one year and can be renewed every year against a particular premium.
  • Premium Payment: The standard health insurance policy premium can be paid in full annually or can be paid in monthly, half-yearly, or quarterly instalments. 

How will it help you?

With the rising number of corona cases in the country and government giving authority to the private hospitals for the treatment for COVID-19, these hospitals have been charging high for the treatment. When the government hospitals do not have adequate capacity and facilities to deal with the load, there is no option left with people apart going to the private hospital for the treatment. Hence, it’s hard and difficult for the common man to bear the treatment expense there. A private hospital on average charges ₹ 10,000–₹ 25,000 per day which includes the cost for bed and PPE kit and treatment. Considering the prevailing condition, availing a Standard Health Insurance for COVId-19 can definitely help one to fight the deadly virus. This will not only provide you with a quality healthcare treatment but will also keep you less stressed thinking about the money in a situation when the health of our loved one matters. 

In the current situation, it seems the initiative taken by the IRDAI, by directing the insurers to come up with standard health insurance for treatment for COVID-19 will be a great help to the people.

Benefits of Standard COVID-19 Health Insurance Policy
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Benefits of Standard COVID-19 Health Insurance Policy
The policy is a standard individual benefit-based insurance policy for individuals and can be opted for families as well. To know more about the Covid-19 health insurance policy, read onto this Finance Buddha blog.
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