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CAIT seeks insurance cover for coronavirus-hit businesses

16 Mar 2020 Evaluate

In order to mandate insurance firms to introduce coverage for disruptions to businesses due to the coronavirus outbreak, the Confederation of All India Traders (CAIT) has appealed to Finance Minister Nirmala Sitharaman to direct regulator Insurance Regulatory and Development Authority of India (IRDAI).

CAIT has suggested that insurance companies may be mandated to introduce 'disruptions due to coronavirus' as an additional cover to fire and materials damage policies, and the existing policyholders may be offered an option to add the additional cover.

CAIT’s Secretary General Praveen Khandelwal highlighted the need for insurers to come up with need-based policies like cover against mosquito-borne diseases and vector-borne diseases, which can cover hospitalisation expenses due to coronavirus or fixed benefits upon its diagnosis. Besides, CAIT has also sent a similar representation to Commerce Minister Piyush Goyal to take up the matter with Finance Ministry.