IRDAI releases exposure draft on the Guidelines on Settlement of Personal Accident and Benefit

Apr 03, 2019 | by Avantis RegTech Legal Research Team

The Insurance Regulatory and Development Authority of India (IRDAI) on April 02, 2019, releases an exposure draft on the guidelines on settlement of personal accident and benefit based health insurance claims in installments. In order to examine proposals received for allowing the Insurers to settle claims in installments or in lump-sum or both in respect of personal accident and benefit based products. A policyholder shall have the flexibility of choosing the settlement option of claims at all stages of policy contract, that is, at the time of policy inception, on renewal, during the policy term or at the point of claims. The claim payment period of the product shall be maximum of five years which shall be subject to product design. The claim installments shall be spread during claim payment period.

This Circular is applicable to all Insurers in respect of Personal Accident and Benefit Based health insurance products and fixed benefit components of indemnity products or fixed benefit riders or add-ons attached to indemnity policies of both Individual and Group Products.   

All the stakeholders are requested to offer their valuable comments or suggestions in the attached format by 17th April 2019. The comments or suggestions may be mailed to Sri Md. Ayaz ([email protected]), AGM, Health Department, IRDAI.

Click here to download the Circular.


Related Updates

Alternate Text

Get updates on the go on RuleZbook Mobile App.