Published On : Fri, Apr 10th, 2020

Health Insurance in India Now Covers COVID-19 Treatments

The coronavirus pandemic is wreaking havoc across the globe in several countries. In India, even though the situation appears to be under control, the disease is said to infect over 5,000 people.

As of now, the government is mainly focusing on the safety of the people and has declared a nation-wide lockdown. Apart from this, they are also preventing the spread of the disease and treating the infected people with utmost care.

Every public and private hospitals across India are treating patients suffering from COVID-19. However, the testing and treatment of this disease, especially in private hospitals is quite expensive. Not every individual can cover the hospitalization expenses that tag along, especially when having to deal with a declining world economy.

Taking this into consideration, the Insurance Regulatory and Development Authority of India (IRDAI) issued a memorandum on March 04, 2020. According to the new notice, every health insurance provider in India has to cover the hospitalization and treatment expenses of COVID-19 patients.

The health insurance providers have to design a comprehensive health plan that specifically treats the coronavirus disease. This product has to be bespoke and needs to be designed by taking into consideration the expenses incurred during the treatment. It also has to take the duration of the quarantine period, treatment, and post-hospitalization costs incurred by the patients.


The existing health plans cover the pre and post-hospitalization charges. However, considering the pandemic and its impact, the new plan will be designed with respect to the treatment needed for this critical illness.

Under the memorandum issued by the IRDAI, the features of the new plan include –

  • The insurance providers will either have to design a comprehensive policy to comprehend the current COVID-19 situation in the country or cover the expenses of the treatment under its existing health policies.
  • The entire treatment cost of the infected person will be reimbursed
  • Insurance providers need to review the claims carefully before reimbursement

It is an appeal to all the people in the country to follow the sanitization routine religiously. In case you are suffering from COVID-19 symptoms, get yourself tested at the nearest public or private hospital. The testing of the disease, quarantine treatment, and hospitalization charges will be reimbursed under the health insurance plan if you are tested positive for the virus.

Lastly,

Because of the COVID-19 pandemic, there is a severe decline in the world economy. For those people worried about their investments, please consider this as a testing period. You do not have to break your investments to succumb to the failing economy.

Even if you have invested in something as simple as a term insurance plan, continue paying the premiums (if possible). This is because the policy focuses on the financial protection of your loved ones in your absence. So, if something was to happen to you, your family can continue with their current lifestyle and future aspirations without facing any financial discrepancies.