Page 13 - Insurance Times August 2020

Health Insurance News

Insurers see over 90,000 A bench of Chief Justice S A Bobde and Corona Kavach a big draw
Justices A S Bopanna and V
Corona claims worth Rs. Ramasubramanian told solicitor gen- for millennials
1,463 cr eral Tushar Mehta to "take care of the The fear of Covid 19 is pushing more
Insurers have seen more than 90,600 insurance companies" who are alleg- and more people to buy the indemnity
Covid-related claims worth Rs 1,463 edly slashing the reimbursement policy for covid-19, despite regular
crore, of which almost 60,000 claims amount due to Covid patients. health insurance policies covering the
cost of hospitalization for the infection.
amounting to Rs 563.81 crore have It has been the general complaint that Corporates too are looking to cover
been settled. the cost of Covid-19 treatment has
their employees, specifically for covid-
State-wise data shows, Maharashtra, risen because of an increase in the 19 under a group Kavach plan.
which has recorded the maximum number of consumable items - from Between 10 July and 30 July, state-run
number of cases in the country, has the PPEs to face shields - by doctors, nurses general insurer New India Assurance
maximum claims coming in, followed and health workers but the insurance Co. Ltd sold about 60,000 policies, in-
by Tamil Nadu, Delhi, Gujarat, and companies were not reimbursing the cluding individual and family floater
Karnataka. While initially, the claim billed amounts for consumables by hos- plans. According to the company, the
amount was high, now it has moder- pitals.
western zone dominated in terms of
ated as many states have prescribed a Mehta said that the IRDAI has already demand. ManipalCigna Health Insur-
standard treatment rate for Covid-19. issued strict instructions to all insur- ance Co Ltd sold about 150 policies and
Even the General Insurance Council has ance companies that the entire cost of the company found the most preferred
prescribed a standard Covid-19 treat- consumables has to be included in the tenure to be in the range of Rs. 4-5
ment rate. Covid treatment. "The IRDA can be lakh. According to the company, they
asked to ensure that no person seek- are seeing a greater uptake from tier-
Supreme Court directs ing reimbursement of Covid treatment II and-III cities.
Centre to address com- cost in hospitals is left high and dry," During the same time, Max Bupa
he said. Health Insurance sold close to 8,000
plaints of Non-payment of
The CJI-led bench said, "At the time of policies and about 80% of the policies
Covid Claims pandemic, the insurance companies sold were for the tenure of 9.5 months
The Supreme Court took judicial notice cannot adopt a hands-off approach, and 90% of the buyers went for the Rs.
of general complaints about insurance especially when people are facing hard- 5 lakh sum insured, which is the maxi-
companies playing truant in reimburs- ship." These remarks came during the mum allowed under the policy con-
ing the full cost of Covid treatment and hearing of PILs filed by advocate Sachin struct. The insurer experienced the
told the Union government to Jain and others who sought capping of highest demand from Bengaluru and
proactively look into the problem faced the cost of Covid treatment at hospi- Hyderabad.
by citizens during the pandemic. tals across India. "So far, the highest purchase for Max

The Insurance Times, August 2020 13