The COVID 19 pandemic brought to light the importance of health insurance. The possibility of a sudden illness impacting almost anyone showed us why we need to buy coverage as soon as possible to stay prepared for the unforeseen.
Keeping the situation in mind, IRDAI (Insurance Regulatory and Development Authority of India) launched two COVID 19 specific health insurance policies – the Corona Kavach Policy and Corona Rakshak Policy. The Corona Kavach Policy is indemnity-based insurance and Corona Rakshak Policy is a benefit-based plan. These short-term plans will hopefully bring more people under the protective cover of health insurance during these trying times.
Now, a lot of people wonder whether they should buy the Corona Kavach Policy or Corona Rakshak Policy. If you too are curious about how to choose between the two, this article is just for you! Read on to discover who should be buying each of these policy types for protection during COVID 19.
Who should buy the Corona Kavach Policy?
The Corona Kavach Policy is suitable for anyone who does not yet have any kind of health insurance. This product offers coverage for COVID 19 hospitalisation (including cost of consumables), pre-and post-hospitalisation expenses, AYUSH treatment expenses, and telemedicine, among other things. The coverage can be bought on an individual basis or as a family floater plan.
The Corona Kavach Policy is also a good pick for anyone looking to cover their entire family under the protective fold of a single health insurance policy specifically for COVID 19. The sum insured starts at Rs 50,000 and goes up to Rs 5 lakhs thus, providing enough room for you to pick the amount of coverage you need.
The Corona Kavach Policy is great way to buy COVID 19 family insurance for a nuclear or larger family. Just remember that the principal policyholder should be aged between 18 to 65 years and coverage extends from day 1 to 65 years.
Who should buy the Corona Rakshak Policy?
The Corona Rakshak Policy is a great choice for those who already have health insurance but are looking for additional coverage against COVID 19. This policy offers a payout if the insured individual is hospitalised for a minimum of 72 continuous hours after being diagnosed with COVID 19. The sum insured starts at Rs 50,000 and goes up to Rs 2.5 lakhs.
If you already have a regular health insurance policy, it should cover you for COVID 19 treatment. In such a situation, your Corona Rakshak Policy can serve as income replacement. For instance, if you fall ill with COVID 19 and require hospitalisation and subsequent bed rest, you might have to stop working for a few weeks. During such time, you may not receive any income. In this case, the payout from your Corona Rakshak Policy can help you manage your financial responsibilities. You can use the funds to fill any gaps in your health insurance, pay the bills, and buy groceries.
It is important to note that the Corona Rakshak Policy cannot be purchased as a family floater plan. It can only be taken on an individual basis by a policyholder between the ages of 18 to 65 years. Most insurers allow you to simultaneously purchase individual Corona Rakshak Policies for several members of your family at the same time.
The choice between the Corona Rakshak Policy and Corona Kavach Policy really depends on your unique needs for coverage against COVID 19. Do remember that these are short-term -policies that have been exclusively designed for the pandemic – they do not cover you for other diseases. It is important that you also have a regular health insurance policy in place for other illnesses too.