The Insurance Regulatory and Development Authority of India (IRDAI) has on Friday modified norms of group credit life schemes to align coverage in line with moratorium announced by the Reserve Bank of India.
For those members of group credit life insurance scheme who have availed moratorium on payment of EMIs, life insurers are now allowed to suitably modify the term and sum assured under such schemes against the required additional payment, the insurance regulator said in a circular.
The provision is allowed only in cases where the members have moratorium in terms of RBI’s announcements, it added.
In view of the moratorium facility offered as part of relief package in view of Covid-19 pandemic, life insurers had requested the insurance regulator to permit suitable modi faction in regulations.