COVID-19 Vs. INSURANCE CLAIM Is Your Insurance Policy Immune to Corona Virus

COVID-19 Vs. INSURANCE CLAIM: Is Your Insurance Policy Immune to Corona Virus?

Corona Virus is given the title ‘Novel’, to say it is first of its kind.

It means there is no cure to the COVID19, yet. It also means that your existing life insurance or your mediclaim policy document did not include the Corona Virus when you bought it.

“Will my life insurance policy cover death due to COVID19?”

“Will my health insurance policy cover the COVID19 treatment expenses?”

Or is there a risky blind spot that you should know? Is a Pandemic exclusion for insurance policies?

Find your answers here.

Will Your Life Insurance Cover Death due to COVID-19?

Yes, it sure does.

If an individual having a life cover dies due to the COVID-19 illness, their nominee can claim the sum assured by providing proper documents.

In any case, death due to the COVID-19 is only considered as death due to illness. The policy providers will follow the same protocol as any other life insurance claim.

After the standard procedures, the claim will be processed and the sum assured will be paid to the nominee.

What if you buy a new life insurance policy now?


It is understandable that you finally realize the importance of having your life covered—presuming, you don’t have a life insurance policy already.

But, one has to keep in mind that the Corona Virus has caused a global health crisis. And with no cure or vaccine in hindsight, insurers may not accept new applications for now.

Check with your insurance provider before you apply for the policy purchase.

Does Your Mediclaim Policy Cover Corona Virus Disease?

IRDAI gives the approval nod.

The Insurance Regulatory on 04 March 2020 released a circular stating that “all claims reported under Corona Virus shall be handled” as per the norms prescribed. See the IRDAI circular image below.

You can read the official IRDAI circular here.

What do the insurers and experts have to say?

In the wake of the Corona Virus and the IRDAI’s circular, even insurers and industry experts and insiders came forward to make things clear.

Often insurance policies consider pandemics as exclusions as it will be too hard to settle too many claims at once. And the WHO declared COVID-19 a Pandemic as the virus spread all over the world.

Despite this, major insurers came forward and clarified that their policies, if active, will provide cover for the COVID-19 just like any other viral illness.

HDFC Ergo published a statement on its official website clearing things up. You can read the official statement here.

Other insurers like Adithya Birla Health Insurance, Edelweiss General Insurance, and other industry experts and insider have ensured the same.

Despite this, IRDAI has also encouraged insurers to create “need-based health insurance coverage”. Ref: Official circular from IRDAI.

In that regard, insurance companies are launching Corona Virus COVID-19 specific health insurance plans.

However, if you buy a new health insurance policy, you will have to serve the mentioned waiting period. The waiting period is typically 30 days or as mentioned in the policy document.

Recommended Action: If your health insurance provider has not issued any statement regarding the COVID-19 coverage, call your health insurance provider and confirm.

If your existing health insurance plan does not provide the COVID-19 health cover, buy a new COVID-19 specific health insurance plan for now. It shouldn’t cost you much.

Final Word

Be it any crisis, prevention is always better than cure.

Especially when there is no cure, prevention is the only way to go. At least until science finds a cure.

But if this global health crisis had shown you the importance of getting your life and health insured, take action now.

Read: How to Cover Yourself Prudently With Life Insurance

Read: How to Pick the Ideal Mediclaim Policy

Make the best out of your time staying home. Keep yourself and everyone safe.

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