Demand for OPD insurance covers surge in third Covid wave

Health insurers see rising demand for Out Patient Department (OPD) covers on the back of lower rate of hospitalization and higher doctor consultation, diagnostic investigations and checkups during the third Covid wave.

ICICI Lombard has recorded a 30% month-on-month rise in sales volume of its OPD rider policy, which was launched last year. Sanjay Datta, who heads the underwriting and claims division of the privately-owned general insurance company said, “Some illness does not require hospitalisation and can be diagnosed and treated in an Out-Patient Department (OPD) and these expenses can be significant, especially post the pandemic outbreak. There is a strong demand for these products among customers in metro cities,” Datta said.

OPD cover is offered as a rider, which is an additional coverage that can be opted by insured on payment of extra premium over and above their base policy. This rider is available both on new purchase of policy as well as renewal of existing policy. Insurers say the demand for OPD is for both Covid and non-Covid illnesses.