One of the noblest traits of the Indian civilization happens to be its reverence to geezerhood or old age and this has been continuing in this ancient land through ages. Whatever may be the influence of consumerism and crony capitalism, India is set to conform to this primordial ideal. This has been proved once again thanks to the latest move of IRDA (Insurance Regulatory and Development Authority) whose one obligation is regarding protection of the interests of the Indian policy holders in matters concerning assigning of policy, nomination by policy holders, insurable interest, settlement of insurance claim, surrender value of policy and other terms and conditions of contracts of insurance.

IRDA has asked insurers, operating in the sphere of India, not to deny medical insurance to customers of at least till 65 years of age. This announcement indeed brings a relief to needy senior citizens since insurance companies’ denial to give health cover to them has become a norm nowadays. “All health insurance products filed hereafter must allow entry at least till 65 years of age,” Insurance Regulatory and Development Authority said in a communication to CEOs of all general insurance companies.

The communiqué made it clear that any denial to health insurance for senior citizens would be dealt strictly and it should be made in writing with reasons furnished and recorded. What is more, those reasons will have to put up with scrutiny of reasonableness and fairness. In addition, IRDA stated emphatically that the premium charged for health insurance products catering to the needs of senior citizens should be fair, justified, transparent and duly disclosed upfront. How can these be done? Well, IRDA is confident in this regard and advised that the insurers should work out mechanisms to bestow honors upon policyholders for early entry and continued renewals with the same insurers.

On the other hand, insurers will reimburse at least 50 per cent of the cost incurred by the insured in pre-insurance medical examination, in cases where the risk is accepted. “This circular shall take effect for all policies issued or renewed on or after July 1, 2009,” IRDA said.