Insurance Regulatory and Development Authority
Dated: 13th October, 2020.
All General and Standalone Health Insurers (except AIC and ECGC) and Life Insurers (as applicable)
Re: Norms on Renewability, Portability and Migration of Standard COVID Specific products.
1. Reference is drawn to clause 12 of Section C of Guidelines on Covid Standard Health Policy (Corona Kavach) (Ref: IRDAI/HLT/REG/CIR/163/06/2020 dated 26th June, 2020) and clause 10 of Section C of Guidelines on Covid Standard benefit based Health Policy (Corona Rakshak) (Ref: IRDAI/HLT/REG/CIR/164/06/2020 dated 26th June, 2020) vide which it was specified that lifelong renewability, migration and portability are not applicable to these products.
2. Reference is also drawn to circular (Ref No: IRDAI/HLT/REG/CIR/192/07/2020 dated 21.07.2020) on filing of Corona Kavach Policy as group health insurance product vide which insurers were allowed to offer Corona kavach policy as group product.
3. In partial modification of the above guidelines, insurers have the choice to allow renewal, migration and portability, as may be applicable, for these COVID specific standard health products (i.e, “Corona Rakshak Policy”, “Corona Kavach Policy” and “Group Corona Kavach policy”) subject to the following norms.
a) ‘Corona Kavach’ and ‘Corona Rakshak’ policies of any tenure may be renewed for further terms of three and half months (3 ½ months), six and half months (6 ½ months) or nine and half months (9 ½ months) as per the option exercised by the policyholder. The renewal shall be subject to the underwriting policy of the insurer.
b) Renewals, if any, may be done before the expiry of the existing policy contract.
c) Where policy is renewed, additional waiting period of 15 days shall not be imposed and the coverage shall be continued seamlessly.
d) During renewal, sum insured may be allowed to be changed by the policyholder. For any increase in the sum insured, the waiting period shall start afresh only for the enhanced portion of the sum insured.
e) Corona Kavach and Corona Rakshak policies are permitted to be renewed till 31st March,2021 complying with clause 5 of Guidelines on introduction of short term health insurance policies providing coverage for COVID-19 disease (Circular Ref No: IRDAI/HLT/REG/ CIR/156/06/ 2020 dated 23.06.2020).
a) In respect of Corona Kavach individual policies, insurers have the choice to offer migration to any other indemnity based health insurance product offered by them as per the option exercised by the policyholder.
b) In respect of Corona Kavach Group policies, insurers have the choice to provide migration to the members insured to any other individual indemnity based health policy at the point of exit of the member insured from the group policy or the cessation of coverage of the underlying group policy.
c) Where migration is allowed, the accrued gains of waiting period served in the existing Corona Kavach policy (Individual/Group) shall be protected in respect of coverage for Covid-19, in the migrated policy.
6. Portability: General and Health Insurers are permitted to allow portability of Corona Kavach (individual) policy from one insurer to another. The accrued gains of waiting period served in the existing Corona Kavach policy shall be protected in respect of coverage of Covid-19, by the porting-in insurer.
7. Where migration/portability from the Corona Kavach policy (Group/Individual, as applicable) is allowed by the insurers, such migration/portability to any other comprehensive health insurance policy shall be allowed, till the end of policy period of the existing Corona Kavach policy.
8. This has approval of the Competent Authority.
D V S Ramesh,