IRDAI Proposes to Cut Waiting Period for Pre-existing Diseases, Cap on Entry Age
Mumbai: In a major relief to health insurance policyholders, the insurance regulator has proposed to cut down the waiting period to cover pre-existing diseases (either disclosed or undisclosed) to three years from four years.
In addition, the maximum entry age to buy health covers has also been done away with which would help senior citizens to get covered. The existing health insurance products cap the maximum entry age at 65 years.
“There shall not be any restriction on entry based on age in health insurance covers,” said the Insurance Regulatory and Development Authority of India (IRDAI).
Insurers have also been asked to design products for specific target segments such as senior citizens, students, children, create a separate channel to address the claims and grievances of senior citizens. The draft norms have also asked insurers to offer the facility to pay premium in installments, and provide coverage for one or more systems under AYUSH treatment provided, the treatment has been taken in a hospitals or healthcare facility.
The exposure draft of the Insurance Product Regulations 2023 was released last week and comments can be submitted by January 3.
Shreeraj Deshpande, health insurance expert said, “The cap on the maximum entry age to buy health insurance has been removed which would help senior citizens to get health covers.”
Many times insurers increase the premium in case an individual has made a claim. The draft norms state that for individual products, any increase in premium at the time of policy renewal should be based on the claim experience of the entire health portfolio and not on any individual policy claim experience. However, discount in premium may be provided by insurers to individual policyholders for good claims experience.
