The Insurance Regulatory Development Authority of India vide its notification dated 23rd March 2021 has modifies the General terms and conditions on Standard Personal Accident Insurance product.
The Regulatory has inserted a new clause 8.18 which deals with free look period which shall be applicable on the new policy and not on renewals.
The insured will be allowed a period of fifteen days from date of receipt of the Policy to review the terms and conditions of the Policy, and to return the same if not acceptable and if the insured has not made any claim during the Free Look Period, the insured shall be entitled to a refund of the premium paid less any expenses incurred by the Company on medical examination of the insured person and the stamp duty charges.
However if the risk has already commenced and the option of return of the Policy is exercised by the insured, a deduction towards the proportionate risk premium for period of cover or; where only a part of the insurance coverage has commenced, such proportionate premium commensurate with the insurance coverage during such period.
