IRDAI asks insurance firms to expeditiously settle hospitalisation claims of coronavirus patients

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New Delhi: Insurance regulatory authority IRDAI has issued guidelines following the outbreak of coronavirus, asking insurance firms to expeditiously settle hospitalisation claims related to the disease under health policies. 

IRDAI on Wednesday (March 4) instructed insurance companies to come out with policies to cover treatment costs for coronavirus infection that has impacted thousands of people across the world.

The IRDAI circular said, "For the purpose of meeting health insurance requirements of various sections, insurers are advised to design products covering the costs of treatment for coronavirus." 
The circular stated, "Where hospitalisation is covered in a product, insurers shall ensure that the cases related to coronavirus disease (COVID-19) shall be expeditiously handled." 

Further, it said, "the costs of admissible medical expenses during the course of treatment, including the treatment during quarantine period, should be settled in accordance to the applicable terms and conditions of policy contract and the extant regulatory framework."

"All the claims reported under COVID-19 shall be thoroughly reviewed by review committee before repudiating the claims," the circular added.

The IRDAI instructions, which have been issued under the provisions of Section 14(2) (e) of IRDA Act, 1999, have to come into force with immediate effect.

In order to provide need-based health insurance coverage, insurers are introducing products for various specific diseases, including vector-borne diseases, the statement said. 

On Wednesday, Union Health Minister Dr Harsh Vardhan said there are 28 cases of coronavirus in the country. The deadly virus, that originated in China late last year, continues to spread around the world, so far claimed over 3,000 lives globally, besides infecting over 90,000 people. 

Over six lakh people have been screened for coronavirus at 21 airports, while more than 10 lakh incoming people at India's open borders with Nepal, Bhutan, and Myanmar have also been screened.