Those who have not yet been vaccinated against the Covid-19 virus will find it difficult to purchase a term life policy, as companies such as Max Life and Tata AIA are now requiring mandatory Covid-19 vaccine certificates for term life insurance buyers, and other insurers are likely to follow suit, according to the report.
In a country with already inadequate insurance coverage, purchasing a safety net has grown more expensive, with premiums rising as a result of an increase in claims caused by virus infections.
Max Life only issues term insurance to persons over the age of 45 who can present their final vaccination certificates, while Tata AIA only issues coverage to individuals who have had their first shot, regardless of age, as per the report.
Customers who have been vaccinated and want to get health insurance can get up to a 5% discount from Reliance General Insurance.
While it is a positive step from the insurer's perspective, it will have a detrimental impact on those who have not yet been immunized. This could be due to a vaccine scarcity, and if a final vaccination certificate is required, a person will have to wait 84 days before receiving the second dose. In a country of 1.38 billion people, only 23.28 crore people had fired their first shot as of Monday.
Some insurers, including ICICI Prudential, Tata AIA, and Aegon Life, have implemented a seven to fifteen-day "cooling off period" following vaccination. New policy applications are temporarily postponed.