Coverage of mental illness in insurance: SC seeks response

The Supreme Court on Tuesday sought response from the Centre and the Insurance Regulatory and Development Authority (IRDA) on the insurance companies refusing coverage of the mental illness despite the statutory obligation under the Mental Healthcare Act, 2017.

A bench of Justice Rohinton Fali Nariman, Justice Navin Sinha and Justice B R Gavai sought response from the Centre and the IRDA on a petition by lawyer Gaurav Kumar Bansal, seeking direction to IRDA to implement provisions of Mental Healthcare Act2017 in letter and spirit and submit an action taken report.

Gaurav Kumar Bansal – known for espousing the cause of mental health care - told the court that Section 21(4) of the Act provides for inclusion of mental illness in insurance policies, but it is not been complied with till date because of the failure of IRDA in not regulating the insurance companies to be alive to the hardship to the mentally ill persons.

“The bias of IRDA is in itself discrimination against persons with mental illness and as such is causing immense hardship for persons with mental illness. Instead of levying punishment on Insurers for not including the provision of the Mental Health Care Act, 2017, IRDA is bypassing its responsibilities," Bansal said in his public interest plea.

"That one of the Rights which Mental Healthcare Act 2017 provides is that the insurer is directed to not to discriminate with Person with Mental Illness (PMI) only on the basis of mental illness and as such is further mandated by Parliament to treat Persons with mental illness alike other diseases as far as medical insurance is concerned," said the plea by Bansal.

Bansal said in his plea that in order to check the outcome of the circular issued by IRDA on August 16, 2018 to implement the Mental Healthcare Act, he had filed a RTI application on January 10, 2019.

A BENCH of Justice Rohinton Fali Nariman, Justice Navin Sinha and Justice B R Gavai sought response from the Centre and the IRDA on a petition by lawyer Gaurav Kumar Bansal, seeking direction to IRDA to implement provisions of Mental Healthcare Act-2017