CEOs of all General and StandaloneHealth Insurance Companies
Re: Circular on Travel InsuranceProducts and operational matters
All Insurance Policiesissued towards domestic and overseas travel coverage shall comply with thefollowing norms:
1. Premiumshall not be received more than 90 days in advance to the date of commencementof the risk covered in case of domestic travel or along with the ticket whilepurchasing the travel tickets, whichever is earlier.
2. Coverstowards overseas travel may be issued at any time. The aforesaid stipulationshall not be applicable to overseas travel cover.
3. Wherepolicies are offered under Group platform or through any travel agency orportal, the following norms shall be complied:
i. Insurersare responsible to ensure an informed choice to the persons to be insured andensure compliance to Regulation 6 of IRDAI (Protection of Policyholders’Interests) Regulations, 2017.
ii. TheName of the Insurance Company which is offering the travel insurance cover, theamount of the premium that shall be collected towards travel insurance covershall be specifically disclosed as the cost of travel cover, at the time of optingto buy a travel insurance cover. Rate of tax that is applicable to the premiumshall be also separately specified.
iii. Insurersshall ensure that any portal or App providing the travel insurance coverageshall not pre-select the option of buying the travel cover as a default option.
iv. The prospect shall be able to specifically choose whetheror not to buy the coverage.
v. Where selected to buy, an option shall be provided foropting out or de-selecting the option before concluding the transaction
vi. Thereshall be a provision to let the person to be insured buying a travel cover gothrough the benefits, terms and conditions offered under the travel insurancecover on the screen itself and consent shall be obtained in the form of selectinga radio button by the prospect / policyholder in confirmation of having readand understood the terms and conditions.
vii. Inorder to ensure that every travel policy offered is in compliance with thesenorms, there shall be a clause in the agreement entered with the masterpolicyholder and in the terms and conditions of the group policy along with aprovision to cancel the group policy arrangement if the master policyholder isnot adhering to the norms specified.
4. Insurersshall put in place procedures to verify that at least once in a period of threemonths the travel policies offered are complying with the above norms.
5. Thesenorms are issued under the provisions of Section 34 (1) of the Insurance Act,1938.
6. ThisCircular shall come into force with immediate effect. All the group insurancearrangements that are not in compliance to these norms shall be terminated witheffect from 01st October, 2019.
7. Thishas the approval of the competent authority.