From the past one and a half years, COVID 19 is the biggest challenge in front of the human race. Several proactive steps have been taken by the insurance industry upon the coronavirus outbreak, and one of them is the declaration that COVID-19 death is covered in their term insurance policy. There are many term insurance companies out there and one can go with any of them while checking the adequate cover amount, affordable premiums, and the credibility of the provider before buying.
But we have a few instances where some people have procrastinated buying the life insurance policy. A senior executive at a public relations in Mumbai named Beverly Coutinho said that she got life insurance immediately after witnessing people of her age group dying in a jiff. “I wouldn’t want my family to be in a situation where they have to scramble for funds if something happens to me,” Coutinho stated. Since we have all health insurance companies covering the COVID 19 insurance, it is vital to choose the best health insurance plan overall. The parameters such as claim settlement ratio, the solvent ratio of the company for reliability, ensuring there is no capping in policy and checking what are the exclusions of the policy are essential for the best insurance plan.
With the devastating second wave of the pandemic peaked in India, especially during the months of April and May, the country witnessed a huge spike in buying term insurance between the 25 and 35 age group. It was 30% higher than in the previous three months combined, said PolicyBazaar, India’s largest online insurance aggregator. “The current pandemic has led to higher awareness around the need for financial protection and the inadequacy of the current insurance coverage,” Niraj Shah, the chief financial officer of HDFC Life Insurance said. Moreover, the strong predictions of the third wave made enquiries about insurance plans rocketed as per executives.
Apart from wearing a mask and social distancing, life insurance is also a very important precautionary measure and hoping that infected ones get treated under specific health cover to help protect from the financial burden of Covid-19 medical treatment. In India, term insurance plans are popular now as they are less expensive and pay the family if the insured dies within the policy’s payment period.
In conclusion, the insurance industry is one among very few industries that had more benefit than the loss due to lockdown and outbreak of Corona Pandemic. People need to be aware of all the new launches of insurance covering Covid-19. Many insurers in collaboration with online wallet sites like Paytm, PhonePe etc. are issuing policies for covering the risk of Covid-19. The policy is available in both retail & group cover and no premedical screening is required. Talking about Life Insurance, initially, there was a downfall to this sector due to a sudden increase in death claims. Many insurers already revised their premiums to match the changed risk rate due to Coronavirus. The fear of penetration has led many people to think about buying life insurance.