Indians will soon have a simple standard term life insurance cover 'Saral Jeevan Bima' to add to their financial security during uncertain times like COVID-19 pandemic.
The new term life cover introduced on the initiative of Insurance Regulatory and Development Authority of India (IRDAI) will provide a life cover in the range of $6,800 to $34,000 to make it convenient to all. It follows after the standard COVID-specific health covers found great acceptance among the insurance customers.
All 24 life insurance companies in India will offer "Saral Jeevan Bima" from 1 January 2021.
The regulator’s initiative to introduce this standard term life product is also expected to give a big push to standardisation of the insurance products in both life and non-life sectors.
The introduction of the standard health insurance product, Aarogya Sanjeevani, and standard short term COVID -specific health insurance policies as Corona Kavach and Corona Rakshak were introduced during the current pandemic and have received tremendous response from the customers.
Bajaj Allianz Life Insurance chief financial officer Bharat Kalsi told financial daily Business Line, “We welcome the move of a standard product that will surely help increase the awareness of protection plans, especially during these uncertain times.”