All Insurance Companies Ordered To Cover Mental Illness In Their Plans; Oct-End Is The Deadline

The Insurance Regulatory and Development Authority of India (Irdai) has asked all insurance companies providing health insurance to comply with regulations to cover mental illness by all insurance products before October 31.

Mental illness to be covered

All insurance products have to cover mental illness and comply with the provisions of the Mental Healthcare Act, 2017 without any deviation.

According to the Act, every insurer has to provide medical insurance for treatment of mental illness on the same basis as physical illness.

In August 2018 all insurance companies were directed to comply with the provisions of the Mental Healthcare Act with immediate effect.

Congenital birth defects in newborns

Irdai observed that many health insurance products that are marketed by insurers are not providing cover to newborns/infants with internal congenital birth defects from day one.

This goes against the “true spirit” of the guidelines.

Irdai had mandated earlier this year that internal congenital diseases, genetic diseases or disorders are not allowed to be incorporated as exclusions in the terms and conditions of the policy contract.

The intent of this provision was to cover newborns with internal congenital birth defects from day one.

No waiting period

All insurance products that cover newborns/unborns shall comply with the necessary provisions without any deviation.

Further, they must provide coverage from day one without imposing any waiting periods/sub-limits or any other restrictive conditions.

“These instructions shall come into force with immediate effect,” Irdai said.