IRDAI issues standard domestic travel insurance policy guidelines for consumers

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It will be easier for you to buy a domestic travel insurance policy now as the Insurance Regulatory and Development Authority of India (IRDAI) has asked insurers to come out with a standard travel insurance policy. The policy will provide coverage while commuting through all modes of such as taxis, buses, trains, ships and flights across India. The policy will be known as Standard Domestic Travel Insurance Policy or Bharat Yatra Suraksha, followed by the name of the insurance company.

Travel insurance makes every trip financially secure by providing suitable protection cover against emergencies such as sudden hospitalisation and loss of baggage, among other things. Though there are a plethora of travel insurance policies available, it is difficult to compare and buy one as each plan comes with its own set of terms and conditions. Therefore, a standard travel product helps one to buy a policy as it will have common features across insurers.

What will it cover?

The standard travel policy will cover hospitalisation costs, accidental death along with a permanent total and a partial disability due to an accident. The hospitalisation cover will be available up to Rs10 lakh, while the accidental death benefit will be between Rs1 lakh and Rs1 crore. You will have the option to go for riders, including coverage for flight delay beyond three hours and cancellations, loss of checked-in baggage and missed flight connections.

The policy will have 5 variants depending on the mode of transport and distance travelled. Moreover, the policy will have sub-limits with room rent, boarding, nursing expenses be allowed up to to 2% of the sum insured subject to a maximum of Rs 10000 per day. Similarly, Intensive Care Unit (ICU) charges will be provided up to 4% of the sum insured subject to a maximum of Rs.20,000 per day.

The premium will be decided at the insurer’s discretion keeping in view the covers proposed to be offered.