In view of current Corona condition IRDAI have made it mandatory for all General and Health Insurance companies to offer COVID standard indemnity policy called Corona Kavach. Also, encouraged to offer optional standard benefit plan called Corona Rakshak. Corona Kavach and Corona Rakshak policies come with 3.5, 6.5 and 9.5-month tenure and policy terms and the features of the policies offered by all the insurance companies will be the standard as specified by the IRDA. These policies are purely meant for supporting people financially in the current pandemic situation. Let us look into the details.
What is Corona Kavach and Corona Rakshak?
Corona Kavach is a standard indemnity health insurance policy which will cover the expenses for the COVID treatment on hospitalisation or for home treatment.
Corona Rakshak is a defined benefit plan which means the insurer will pay a lump sum amount to insured on testing positive for Corona, this is one-time settlement policy.
What is the term of these Policies ?
As both these policies are meant for purely corona related support, these are short term policies with a tenure of 3.5 months (105 days), 6.5 months (195 days) and 9.5 months (285 days). These policies will not have any renewal option after the completion of the policy tenure.
What is the sum assured ?
Corona Kavach policy – minimum sum assured is Rs. 50,000/- and the maximum limit is Rs. 5,00,000/-. The sum assured can be in multiples of Rs. 50,000/-.
Corona Rakshak Policy – Minimum sum assured is Rs. 50,000/- and the maximum limit is Rs. 2,50,000/-.
Individual or Family Floater ?
Corona Kavach policy can be taken as an individual or family floater policy. The family members who can be covered under floater are spouse, parents, parents-in-law and dependent children of age between 1 day old to 25 years.
Corona Rakshak can be taken only as an individual policy.
What are the expenses covered under Corona Kavach ?
Under base cover the following expenses are covered
1. COVID Hospitaliation Expenses:
The Hospitalization expenses incurred for the treatment of COVID on Positive diagnosis in a government authorized diagnostic centre.
a) Room, Boarding, Nursing Expenses as provided by the Hospital / Nursing Home.
b) Surgeon, Anesthetist, Medical Practitioner, Consultants, Specialist Fees (including consultation through telemedicine whether paid directly to the treating doctor/surgeon or to the hospital.
c) Anesthesia, blood, oxygen, operation theatre charges, surgical appliances, ventilator charges, medicines and drugs, costs towards diagnostics, PPE Kit, gloves, mask and such other related expenses. Hospitalization for a minimum period of 24 hours is
d) Intensive Care Unit (ICU) / Intensive Cardiac Care Unit (ICCU) expenses.
e) Ambulance expenses up to a maximum of Rs.2000/- per each time of hospitalization.
2. Home Care Treatment Expenses:
Expenses incurred for availing treatment at home for a maximum period of 14 days will be covered fulfilling following conditions.
a) The treatment is done under the guidance of a Doctor/ Medical practitioner at home.
b) The doctor will monitor the patient every day during the treatment.
c) Daily monitoring chart including records of treatment administered duly signed by the treating doctor is maintained.
d) The patient shall follow the Doctor’s advice. Cashless or reimbursement facility is available.
e) If the treatment is taken in non-network hospitals, the claim will be reimbursed. However, prior approval from the insurance company is needed. The insurance company must reply to the request within 2 hours.
In these benefits, the costs of testing done at home or diagnostics centre, consultation charges of a doctor, nursing charges, medicines prescribed in writing, Pulse oximeter, Oxygen cylinder and Nebulizer are covered.
3. AYUSH Treatment:
The Medical expenses incurred on hospitalisation under AYUSH systems treatment on Positive diagnosis of COVID in a government authorised diagnostic centre shall be covered up to the Sum Insured without any sub-limits.
medical expenses incurred for a period of 15days prior to the date of hospitalisation/home care treatment will be covered. This will also include testing costs.
Medical expenses incurred for a period of 30days from the date of discharge from the hospital/completion of home care treatment are covered.
6. No deductibles
This policy has no deductibles which mean you don’t need to pay any amount upfront towards the claim.
Hospital Daily cash comes under optional cover
Hospital Daily Cash:
The Company will pay 0.5% of sum insured per day for every 24 hours of continuous hospitalization for a maximum 15 days during the tenure of the policy.
Corona Kavach Premiums
The premiums for these policies are not differentiated on a geographical basis. below are premiums (indicative) of corona Kavach policies offered by a few insurance companies for your idea.
What is the benifit under Corona Rakshak Policy?
The total sum assured will be paid in a lump sum if the insured is tested corona positive and hospitalised for a minimum of 72 hours.
Should you buy these policies ?
IRDAI has clearly mentioned that all existing health insurance policies must cover corona related hospitalisation expenses. Hence, if you have comprehensive health insurance in place, you may ignore these policies.
If you do not have any comprehensive health insurance policy you must buy this policy immediately and also prioritise to have a comprehensive health insurance policy soon.
Note: The maximum limit of these policies is Rs. 5 lakhs ( Corona Kavach – 5 lakhs and Corona Rakshak Rs. 2.5 Lakhs). Considering the current costs of COVID treatment Rs. 5 lakhs may not be an adequate cover for a family of 3 or more members.