Health insurance pricing freed after 3-yr lock-in PRICING HEALTH INSURANCE

to be covered considered.

IRDAI said insurers could also put in place procedures for offering discounts on premiums on renewals based on the fitness and wellness criteria stipulated and disclosed

While wellness and preventive elements as part of product design is encouraged, insurers cannot offer any discounts to policyholders on products of third parties either as part of policy contract or otherwise.

With respect to products that are a combination of life cover offered by life insurance companies and health insurance cover offered by general insurers or health insurers, it said the premium components of both the risks must be separately identified and disclosed to policyholders.

IRDAI also said no life insurer could offer indemnity-based products either individual or group. All existing indemnitybased would be Till now, product pricing could not be changed for three years

IRDAI said the premium for health insurance policies would be based on age and other relevant risk factors

Insurers cannot offer any discounts to policyholders on products of third parties, either as part of policy contract or otherwise products offered by life insurers have to be withdrawn.

In order to facilitate offering of innovative covers by insurers, IRDAI said 'pilot products’ could be designed and filed for approval. These can be offered only by general insurers and health insurers for a policy tenure of one year. Every pilot product can be offered up to a period not exceeding five years. After five years of launch, the product needs to be converted into a regular product or withdrawn.