Over the last one year, IRDAI has introduced a host of standard insurance policies with uniform features and benefits. These products are expected to be sold over the counter and to reduce instances of mis-selling.
Let’s look at these policies:
Covid related policies
IRDAI introduced two short term covid specific policies - Corona Rakshak and Corona Kavach.
All life, health and non-life insurance companies offer Corona Rakshak Policy which is a benefit based policy that pays a fixed cost to a policyholder if he suffers from coronavirus.
Non-life and standalone health insurers can also offer Corona Kavach Policy. Kavach Policy is an indemnity-based health insurance product that covers the treatment cost of hospitalization.
Arogya Sanjeevani Health Policy
Arogya Sanjeevani Policy offers both plans - individual and family floater. Just like any other policy, Arogya Sanjeevani Policy is valid for a year subject to lifelong renewability. The product offers a sum insured of up to Rs.10 lakh, starting from Rs.50,000 and in multiples of Rs.50,000.
Arogya Sanjeevani comes with features like co-payment and sub-limit. While copayment is the percentage amount, which the client will have to shell from his own pocket as medical expenses, sub limit is the maximum amount that insurers can pay you for an expense such as room rent.
However, these policies are attractively priced compared to similar products offered by PSU insurers.
Saral Jeevan Bima
Saral Jeevan Bima is a pure risk term life insurance policy that pays sum assured in lumpsum to the nominee in case of death of the life assured during the policy term. The minimum sum assured ranges between Rs.5 lakh and Rs.25 lakh. However, insurers can offer sum assured of over Rs.25 lakh voluntarily.
The best part of Saral Jeevan Bima is that anyone can avail this term cover irrespective of income. For instance, housewives can also avail term life cover.
Saral Pension
Individuals can generate regular income post retirement by buying Saral Pension scheme. The policy comes with two plans - Life annuity with 100% return of purchase price and joint life annuity with return of purchase price.
Individuals in age group of 40-80 years can buy this immediate annuity plan and generate income in any frequency - monthly, quarterly, half-yearly and yearly.
Mashak Rakshak Health Policy
Mashak Rakshak is a benefit based health insurance policy. The standard policy offers a lump sum benefit equal to 100% of the sum insured (excluding the amount paid under diagnosis cover) on positive diagnosis of any of the following vector borne diseases requiring hospitalization for a minimum continuous period of 72 hours - dengue fever, malaria, filaria, kala-azar, chikungunya, Japanese encephalitis and zika virus.
Standard personal accident insurance policy
The standard accidental policy offers coverage for accidental death, permanent or partial disability and hospitalization expenses incurred due to accidents. The sum insured is in the range of Rs.2.50 lakh – Rs.1 crore. The policy pays up to 100% of sum insured if an insured dies of accident or suffers permanent disablement during policy tenure.
Standard products for fire and allied perils policies
All general insurers companies offer these standard policies on fire and allied perils effective from April 1, 2021.
Bharat Griha Raksha - Policy is for residential buildings and home contents
Bharat Sookshma Udyam Suraksha - Policy dedicated for enterprises where the total value at risk at any one location is upto Rs. 5 crore
Bharat Laghu Udyam Suraksha - Policy that covers enterprises where the total value at risk at any one location is more than Rs. 5 crore and upto Rs. 50 crore