Is It Too Late to Get a COVID Insurance in India?
A COVID 19 insurance plan
The coronavirus is spreading all over the world like a wildfire, victimizing more and more people with the disease. In such a difficult time, it has become necessary to be prepare for the eventualities that come with the novel coronavirus disease. That is where covid 19 insurance steps in.
A COVID 19 insurance plan, as the name suggests, is one of the types of insurance that covers the medical expenses that arise out of COVID disease. It usually pays for tests, hospitalization, quarantine expenses, medications, ambulance, etc. Some policies also add an additional death benefit to the insurance plan. The inclusions and exclusions of the plan may vary from insurer. However, the standard covid insurance, Corona Kavach and Corona Rakshak, regulated by IRDAI are same throughout the industry.
With the rising number of covid cases throughout the country and the prolonged crisis, it is now time to make the smart investment decision and invest in one of the covid 19 insurance plans to protect yourself and your loved ones from this invisible enemy.
1. What Does Covid 19 Insurance Cover?
Covid 19 insurance refers to the insurance policy or a rider that offers financial assistance to people who have been tested positive with the virus. It pays for their hospitalization, ambulance, medicines, and all the other associated expenses. This insurance plan was specifically designed to help people get quality treatment and fight against the disease without worrying about the expenditure.
The policy becomes active as soon as the waiting period of 15 days is over. So, if you are diagnosed with the disease after this time period, all your medical expense will be borne by the insurance provider. You can either buy it as a standalone policy or as part of covid 19 insurance rider that comes with your life insurance policy.
2. Benefits of COVID 19 insurance plan
With the second-wave of coronavirus believed to be deadlier than the first one, now is a good time as any to buy a covid insurance plan. Here are some benefits to help make the decision easier:
- You get financial assistance
As per the covid 19 insurance and the type of policy you buy, you will either be covered for your expenses once you are tested positive for the virus (Corona Kavach) or receive the sum assured after you have spent at least 72 hours in the hospital due to coronavirus (corona Rakshak).
-Increased life protection
With some insurance policies, you can also receive the death benefit in case of your unfortunate passing due to covid-19. If you are covered for covid 19 under the rider benefit, then the sum assured will be given to you in addition to the base policy.
You can also avail the tax benefits by investing in a covid-19 insurance plan as per the prevailing laws. Moreover, the benefit received under this insurance is also tax exempt.
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- Short Policy Term
These are short term insurance plans that are available for small duration. It can be taken for the maximum of 9.5 months.
- One-time payment
No need to worry about monthly payments. You can buy a covid 19 insurance plan by making a single premium payment for the entire duration.
- 15-day waiting period
Unlike other life insurance policies that come with a long waiting period, covid 19 insurance plans have maximum 15 days waiting period. However, you should still read the policy document for details before investing.
- Low entry age
Usually, entry age for life insurance policies is 21. However, for covid 19 insurance, one can buy as early as 18 years of age.
- High Maturity Age
Most covid-19 insurance or riders have a high maturity age. You can easily get COVID 19 insurance plan and benefits till the age of 66!
3. Tips to choose the right plan
A covid 19 insurance plan or rider can help you fight against the medical expenses. It offers comprehensive protection to you and your family by providing you financial assistance if they test positive. However, here are some things you need to keep in mind before buying a policy.
- High claim settlement ratio
Since these insurance plans are standard and offer the exact same benefits regardless of who you buy it from, be sure to choose an insurer that has the highest claim settlement ratio. This ratio is determined on the basis of claim settled by an insurance provided with regards to claim raised in a given year. Any insurer with more than 90% CSR can be trusted with your policy.
- Choose the sum assured carefully
You need to choose the correct sum assured if you want to have full financial assistance in case you are tested positive. Since these are single premium plans, they are quite affordable and make it easier for you to get the financial protection against this disease without affecting your budget.
- Buy right away
The disease has been around for some time now and will most likely stay for the foreseeable future. So now is a good time to buy your covid 19 insurance plan.
Do not wait any longer than you already have. Covid-19 is an unpredictable threat to not just your body but also your finances. So, stay prepared, stay secured!