Health insurance policies will soon have a colour-coding system of green, orange or red to show whether a product is simple, moderate or complex.
Insurance Regulatory and Development Authority of India (IRDAI) has said that a score will be assigned to each product, depending on the product features and the type of covers. For customers, this is meant to reflect whether the product is simple or complicate to understand.
Green is a colour which all health insurers will desire to get as this means that the product is simple.
Factors like number of optional covers, percentage of co-pay, waiting period, permanent exclusions, number of treatments included, and simplicity of terms will be considered for deciding on a score for the product.
Moneycontrol gives you a glimpse of how the colour code will work.