Health insurance for transgenders: Spell out all underwriting rules, says IRDAI

WION Web Team
NEW DELHI Updated: Mar 11, 2022, 12:54 PM(IST)

Transgender in Chennai Photograph:( WION )

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The goal of requesting that life, health, and general insurance companies publish their underwriting approach for reviewing health insurance applications on their websites is to ensure transparency and clarity for potential transgender policyholders.

The Insurance Regulatory and Development Authority of India (IRDAI) asked all life and non-life insurance companies to set out their transgender underwriting rules on their websites on Tuesday in order to increase transparency. 

"All the insurers now are further instructed to publish on their websites the aspects of underwriting philosophy and approach with regard to offering health insurance coverage to transgender people so that the targeted population may have complete information on the philosophy that insurers adopt in this regard," IRDAI said.

In the event of transgender applicants, insurance companies will be compelled to disclose how such health insurance proposals would be examined, risks assessed, and premiums established.

The goal of requesting that life, health, and general insurance companies publish their underwriting approach for reviewing health insurance applications on their websites is to ensure transparency and clarity for potential transgender policyholders.

The IRDAI rule makes it essential for all insurers to provide such coverage, removing any potential for misunderstanding. 

According to the 2011 Census (which recognised transgender people for the first time while collecting data), India's transgender population was roughly 4.8 lakh people, with a literacy rate of 56 percent.

In 2016, the state-run was the first to add a third gender option on its proposal form.

While most insurance companies do not charge transgender people different prices, data is still a major issue. 

The move, according to experts, attempts to increase openness in the underwriting process. 

(With Inputs from agencies)

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