Should You Renew Or Port Your Corona Kavach Policy

The Insurance Regulatory and Development Authority (Irdai) approved the choice for policyholders to upgrade, migrate, and port two coronavirus-specific health insurance policies — Corona Rakshak and Corona Kavach. This programme would cover the cost of care for any co-morbid condition, including pre-existing co-morbid conditions, as well as COVID-19 treatment. Corona Kavach policies have an amount insured ranging from 50,000 to 5 lakh. The policy's duration ranges between three and a half months, six and a half months, and nine and a half months.

Should Your Renew Or Port Your Corona Kavach Policy

Here are a few insights regarding corona kavach renewal and porting:

1. On Renewal

   The insurer permitted the companies to renew the ‘Corona Kavach' and ‘Corona Rakshak' policies for three and a half months (3 1/2 months), six and a half months (6 1/2 months), or nine and a half months (9 1/2 months) with the insurer. "The renewal would be subject to the insurer's underwriting policy," Irdai said.
   According to the insurer, if the amount insured is increased, the waiting period will begin anew only for the increased portion of the sum insured.
   The consumer must renew the policy before the current policy contract expires. If policyholders wish to renew their policies, there will be no additional 15-day waiting period. Customers benefited from the regulator's decision to allow policyholders to adjust the sum insured.

2. On Migration

   Individual Corona Kavach plans have the option of migrating to some other indemnity-based health insurance product provided by the insurer.In the case of Corona Kavach Group policies, insurers will have the option of providing relocation to members insured to some other individual indemnity related insurance policy at the time of the member insured's departure from the group policy or the underlying group policy's coverage ceasing.

3. On Portability

   General and health insurers are allowed to allow Corona Kavach (individual) policies to be transferred from one insurer to another. "The porting-in insurer shall secure the accumulated benefits of the waiting period served in the current Corona Kavach policy in respect of coverage of COVID-19," Irdai said.
   "Where insurers permit migration/portability from the Corona Kavach policy (group/individual, as applicable), such migration/portability to any other comprehensive health insurance policy shall be permitted until the end of the policy duration," it continued.

Take Away

Consumers can benefit from the new guidelines in a variety of ways, including having a comprehensive maximum security plan when they need it most. Many that were unable to purchase a plan with a higher amount insured in the first months will now increase the sum insured if they believe treatment costs will rise and they need comprehensive coverage. By allowing consumers to switch or port from a Corona Kavach policy to some other comprehensive health insurance cover before the end of the current COVID policy's policy duration, it allows policyholders to smoothly move into a cover that offers total security in addition to Covid, thus improving the insurability of the policy.

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.