Health insurance to grow irrespective of Corona policy performance in near-term: Khuntia

HYDERABAD: Though the renewal and sale of

standard Corona policies

is expected to decline in the coming days due to falling Covid-19 cases, it is not likely to have a negative bearing on the overall growth of health insurance sector, Insurance Regulatory and Development Authority of India (IRDAI) chairman Subhash C Khuntia said on Friday.

Addressing participants virtually at the 17th Annual Insurance Brokers’ Summit, organised by Insurance

Brokers

Association of India (IBAI), Khuntia pointed out that the standard Covid-19

policies

were introduced to protect the uninsured as a ‘stop gap’ arrangement during the pandemic and has been serving its purpose.

He said the pandemic has made people realise the importance of having adequate health coverage and is expected to boost overall health insurance in the near-term.

He pointed out that 1.28 crore standard Covid policies with a total premium of over Rs 1,000 crore have been sold so far. “Under

Corona Kavach

, which is the standard product, 42 lakh lives have been protected, while 5.36 lakh lives have been protected through

Corona

Rakshak,” Khuntia said.

The IRDAI chairman also urged brokers to enhance their contribution towards life insurance as well as individual health insurance in the country. He also urged the broker community to leverage digital tools to reach out to the stakeholders and customers.

“I see a huge opportunity in the tier 2 and 3 cities and towns. Substantial economic growth is expected from rural areas and I would urge the broker community to penetrate this untapped segment. Further focus is required on the MSME sector and new insurance products have been added to cater to this,” he said.

He said brokers must represent the interest of customers and assist policyholders during the life cycle of the policies. “Though you have got the policy holder insured, you must also guide them on how to prevent risk against which they are insured,” he added.

Besides, he also urged the brokers community to reach out to MSMEs to offer or part-finance standard pension covers or group health policies or life policies for their employees.

Meanwhile, Sumit Bohra, president, IBAI, pointed out that post the pandemic, the role of brokers has enhanced as the nature of risk has changed.

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