IRDAI makes Corona Armor more customer-friendly. Let’s learn how

With the Coronavirus epidemic being a major concern, the Insurance Regulatory and Development Authority of India (IRDAI) introduced two COVID-specific health insurance plans of Corona Armor and Corona Guard. The purpose of these schemes was to provide individuals with the necessary health insurance coverage against COVID-related hospitalization expenses. While the Corona Armor was launched as a compensatory health plan, the Corona Guard was launched as a fixed benefit plan offering lump-sum benefits upon hospitalization due to COVID. After their launch, the scheme became an ideal solution for individuals receiving short-term coverage against COVID infections. However, the epidemic is still a serious threat, with IRDAI asking insurance companies to provide continuity benefits to the Corona Kachach policy. Let’s look at what IRDAI has proposed –

Changes of IRDAI in the context of corona armor and protectors

IRDAI has allowed three new benefits in the Corona Armor and Guard Plans. These benefits are as follows –

  1. Renewal
  2. Portability
  3. The stay

Let’s take a look at these three changes and what these changes mean to you.

Change # 1 – Renewal Benefits

Both Corona Armor and Corona Protector were launched as short-term health insurance plans with tenures of 3.5, 6.5 and 9.5 months. However, as the epidemic is not under control and there has been no development of a successful vaccine, IRDAI has asked insurance companies to allow expanded coverage under these policies. If the policy period expires, policyholders are allowed to renew their existing Corona armor or protector plans. You can renew the policy before the current cover period ends and can also choose to increase the sum insured. On renewal, a 15-day waiting period will not apply. However, if you increase the sum assured, the waiting period will apply to the increased amount. Renewal will be allowed until 31 March 2021.

What does it mean to you?

The Corona Armor policy provides a wider scope of coverage against COVIDs than general health insurance plans. It covers the cost of hospitalization as well as home hospitalization expenses which are not covered under general health plans. In addition, Corona Guard gives you a lump sum benefit to meet other financial expenses that you may incur. The renewal facility is beneficial for you as you can increase your coverage until the vaccine develops and you are not at risk of infection.

Change # 2 – Portability Benefits

IRDAI has allowed policyholders to port their existing Corona Armor and Protector plans from one insurance company to another if they are dissatisfied with their existing insurance company. Porting is also allowed for a standard indemnity-oriented health insurance plan from the current Corona armor or protector policy. When the policy is ported, the new insurance company should allow a reduction in the waiting period in the new plan to account for the already applicable waiting period in the existing policy. Policyholders are allowed to increase the sum assured at the time of porting.

What does it mean to you?

With the option of portability, you can switch to another insurance company if you are not satisfied with the current company. You can also get a lower premium offered by another company for the same policy because insurers pay different prices to their Corona Armor and Constraint policies. So, porting gives you the option of choosing the best insurance company for your coverage.

Change # 3 – Migration

Through the Migration Facility, you can convert your Corona Armor or Guard Plan into a Standard Indemnity Health Insurance Plan that covers diseases other than COVID. Therefore, migration allows policyholders to convert their COVID specific plans into general health insurance plans and expand the scope of coverage. When you migrate, you can extend the waiting period of the existing plan to the new plan. When you increase coverage coverage, the premium will change. In addition, the new policy may have sub-limits on room rents and pre-existing waiting periods, which you should choose before you stay. You will be allowed to increase the sum insured on the stay but if the sum insured is increased, the waiting period will be applied again to the increased amount of coverage.

What does it mean to you?

This is a beneficial change as it allows your COVID policy to be converted to a more comprehensive plan when your COVID coverage requirement is met. Thus, you can enjoy wider coverage and also enjoy continuity benefits of existing policy.

These changes by IRDAI widened the scope of Corona Armor and Guard Health Insurance policies and made them more customer-friendly. These plans now provide better benefits and you can insure yourself and your family under these policies to avoid COVID and related expenses.

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