The Insurance Regulatory and Development Authority of India (IRDAI) has allowed the general and standalone health insurers to offer Corona Kavach Policy as a group insurance product. Soon, the companies and other organisations will be able to buy this COVID-19 health insurance policy for employees.
"This standard group policy is expected to be useful to various private and public establishments for covering the COVID-19 related medical needs of their employees. It will also be extremely useful for various categories of frontline workers as groups. In case the group consists entirely of doctors, nurses or healthcare workers, a discount of 5% will also be available as a mark of recognition of their contribution in fighting the society’s battle against Covid-19," IRDAI said.
Citing the high number of coronavirus cases, the insurer regulator earlier asked all the companies to launch Corona Kavach Policy for individuals and families. Corona Kavach Policy is a standardised insurance cover for COVID-19 disease. The minimum sum insured under this cover will be ₹50,000 and the maximum sum insured will be ₹5 lakh.
"Insurers are allowed to use the standard product name for the group policy after adding the word “group", provided all terms and conditions as applicable to the standard individual policy remain the same except premium rate and specification on operation of group policy," the regulator said.
"The group policy can provide protection to a large number of employees engaged in manufacturing, services, SMEs, MSMEs, logistics sector, migrant workers and bring peace of mind to them, their family members and the employers," the regulator added.
The insurers shall determine the price keeping in view the cover proposed to be offered subject to complying with the norms specified in the IRDAI (Health Insurance) Regulations, 2016 and Guidelines notified there under.
The group Corona Kavach Policy policy shall be filed on Use and File basis by duly complying with the norms specified in Chapter IV of Guidelines on product filing in health insurance business" as modified from time to time.
"This group product shall comply with the all other applicable norms stipulated under “Guidelines on Product filing in Health Insurance business". These guidelines shall come in to force with immediate effect," IRDAI said.