Insurance Holder Rights Many times policy holders buy the policy but they do not know about their rights. Insurance Regulatory and Development Authority i.e. IRDAI recently issued a master circular regarding this. In this circular, IRDAI told the policyholders about their rights. Let us know in detail in this article.
To make insurance holders comfortable, many rules are issued by the insurance regulator IRDAI. Now IRDAI has issued a master circular for policy holders. In this circular, the regulator has told the policy holders about their rights.
If you also have life insurance or health insurance, then you should know about your rights so that no insurance company can act arbitrarily. We will tell you about the rights of policy holders in this article.
Apart from this, as soon as the company accepts the proposal form, it has only 15 days to issue the policy. The company can never take the initial premium with the proposal form. The company can take the premium from the policyholder only after the policy is issued.
The company will have to provide some documents to the customer after the policy is issued. It is the responsibility of the insurance company to provide the policyholder with a covering letter, copy of the proposal form, copy of the benefit illustration and CIS i.e. customer information sheet after the policy is issued.
You can return the policy
IRDA said that the policyholder has a free look period of 30 days. This means that if a policyholder took a policy but later he did not like that policy, then he can return it within 30 days.
Cashless claim will be done in 1 hour
Cashless claim facility is available in health insurance. Earlier, the policyholder had to wait for cashless claim. But, this is not the case now. If the policyholder has made a cashless claim then the decision should be made within 1 hour of the claim. If the hospital is discharging then the final authorization should be done within 3 hours. If there is a delay in the final authorization then the additional expenses of the hospital will be borne by the insurance company.
The policy will be updated automatically
If the policyholder has multiple policies and he makes a claim under one policy. But if the coverage of that policy falls short, then the second policy will be activated automatically. Understand it like this, if you have a policy of Rs 1 lakh and Rs 2 lakh. You have claimed Rs 1.5 lakh from a policy of Rs 1 lakh, then because the coverage of the first policy is less, the second policy will be updated automatically. That is, the policy of Rs 1 lakh will give a benefit of Rs 1 lakh and the second policy will give a benefit of Rs 50,000.
