Majority of cities are restricting public movement in masses as the whole world is fighting Covid-19 pandemic,
Those people who are infected with Covid-19 are facing difficult financial crisis as private hospital bills are mounting north of 10 to 20 lac rupees.
To protect and cut down financial loses, IRDA has asked insurance companies to come up with Health Insurance plans specifically addressed to cover Coronavirus medical expenses
Several insurance companies have introduced Corona policies recently which are of two types – Corona Kavach and Corona Rakshak
Lets look at typical differences in benefits offered by these plans
Corona Kavach Vs Corona Rakshak
✔️ There two types of Corona Policies are categorized as “Indemnity Policy” and “Benefit Policy”.
✔️ “Corona Kavach” is “Indemnity policy”, whereas “Corona Rakshak” is “Benefit Policy”.
✔️ In “Indemnity Policy” policyholder will claim reimbursement as per actual expenditure.
👍 In “Benefit Policy” there is no need to submit the medical bill. Only medical report is sufficient. The policyholder will be paid 100% of the sum insured
✔️ In “Corona Kavach” sum insured is available from 50,000/- to 5,00,000/-
✔️ In “Corona Rakshak” sum insured is available from 50,000/- to 2,50,000/- only
✔️ These are short term policies viz. 3.5 months, 6.5 months, 9.5 months
👎 Renewals not applicable
✔️ Insurance companies are covering people from age group 0 – 65 years
✔️ Corona Kavach covers medical expenses of Hospitalization for COVID for a minimum period of 24 consecutive hours
✔️ In Corona Rakshak, Lump sum benefit of 100% of the Sum Insured will be payable on testing of COVID-19, and requiring a minimum 72 hours of hospitalization
✔️ Home Care Treatment: The Company shall indemnify costs of treatment incurred by the Insured person on availing treatment at home for COVID on a positive diagnosis in a government authorized diagnostic centre maximum up to 14 days per incident – only in case of “Corona Kavach.” Home care treatment is an exclusion in the case of “Corona Rakshak”.
👍 Corona Kavach policy covers pre-hospitalization expenses for up to 15 days and post-hospitalization for up to 30 days.
Register To Unlock Premium Content
Register below to get instant access to continue reading premium content
⌛ Rough estimate of premium 5 Lacs Sum Insured (excluding GST):
- Age 0 to 40: Premium starts from Rs. 839/-
- Age 41 to 60: Premium starts from Rs. 1,850/-
- Age 61 to 65: Premium starts from Rs. 3,930/-
To Summarize,
| Corona Kavach | Corona Rakshak | |
|---|---|---|
| Types of Policy | Actual medical expenditure is reimbursed | No need to submit bills, a medical test report is sufficient |
| Duration | 3.5 months, 6.5 months, 9.5 months | 3.5 months, 6.5 months, 9.5 months |
| Sum insured | Rs 50,000 to Rs 5 Lacs | Rs 50,000 to Rs 2.5 Lacs |
| Tax Savings | Available under 80D | Available under 80D |
| Home Care Treatment | Available upto 14 days | Excluded |
| Hospitalization | Minimum 24 hours | Requiring minimum 72 hours |
| Plan Options | Individual or Family Floater | Individual |
Conclusion:
👉 Even you have a company-provided corporate health insurance policy, still it is recommendable to take a Corona Policy as it will cover consumables
Consumables like Cost of PPE Kit etc. which is the major part in corona treatment billing. Basic Health Insurance policy excludes most of non-medical consumables.
👉 If you are having a Family Floater policy of 5 Lac., still it is recommendable to take Corona policies separately, because the treatment of 1 person due to corona is approx. 3 lacs to 8 lacs.
Please share to your near and dear, if you find it useful
