The Insurance Regulatory and Development Authority of India (Irdai) has released guidelines for Bharat Yatra Suraksha, the country's standard domestic travel insurance product.
This standard product will cover hospitalization costs, death, and permanent complete or partial disablement due to an accident for travel by taxi, bus, train, ship, and airplane.
Any trip should be financially protected by offering adequate insurance coverage against unforeseeable contingencies. While there are a variety of travel insurance products available in India, each one is unique, making it difficult for the general public to choose the right one.
Although a standard travel policy is not needed, the insurance regulator has encouraged general and health insurers to provide it beginning July 1, 2021.
Standard Domestic Travel Insurance - Bharat Yatra Suraksha Policy Details
The standard product must have the basic mandatory covers outlined in these Guidelines, which must be consistent across the industry.
1) The basic cover will cover hospitalization costs ranging from Rs1 lakh to Rs10 lakh, as well as an accidental death value of Rs1 lakh to Rs1 crore.
2) Coverage for missed flight connections, lost checked luggage, travel delays of more than three hours, and cancellations are available as options.
3) Since the proposed plan will be released based on the journey and trip, policyholders will not be able to renew their policies; however, premium extensions will be allowed.
4) Normal domestic travel plans will not have a co-payment, but insurers will be able to add deductibles.
5) Room rent, boarding, and nursing expenses are limited to 2% of the amount insured, up to a maximum of Rs10,000 per day.
6) While intensive care unit (ICU) charges are limited to 4% of the sum insured, up to a maximum of Rs20,000 per day.
7) The product will be available in five different versions, depending on the length of the trip and the mode of transportation.
- Plan A would cover travel by taxi or bus within a 100-kilometer radius of the point of origin.
- Plan B, on the other hand, can cover trips of more than 100 kilometers by taxi or bus. Plan C and D cover air and rail travel with no limit on distance travelled.
- Plan E includes both of the above modes of transportation as well as round-trip coverage. Furthermore, only Plan E offers coverage for up to 30 days, while the other plans are only valid for a single trip.