Pushing ahead with its reforms in the insurance sector, Insurance Regulatory and Development Authority (IRDA) on Friday circulated a draft policy which says all health insurance companies must provide an 'entry age' of 65 for applicants buying policies; and that there should be no 'exit age' for renewal of a policy.
The guidelines for the Insurance Regulatory and Development Authority (Health Insurance) Regulations 2012 also say that life insurers can offer products with a mere four-year term; while general insurance companies can offer up to three years.
It further says that health insurers would have to provide cash-free facilities to policyholders undergoing hospital treatment, even if it has been removed from the list of preferred service providers.
IRDA has asked all stakeholders to send in their feedback by 30 June.
''Though these are exposure draft guidelines, the reason they gain such importance is that these are going to be the final guidelines, with some very minor changes,'' DNA newspaper quoted an industry official as saying.