CAIT writes to FM Nirmala Sitharaman seeking insurance cover for coronavirus-hit businesses

By: |
Published: March 15, 2020 6:23:13 PM

In a letter to Sitharaman, CAIT 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, Nirmala Sitharaman, IRDAI, coronavirus outbreak, Piyush Goyal, Finance Ministry, insurance firmsFinance Minister Nirmala Sitharaman

Traders’ body CAIT has appealed to Finance Minister Nirmala Sitharaman to direct regulator IRDAI to mandate insurance firms to introduce coverage for disruptions to businesses on account of the coronavirus outbreak.

In a letter to Sitharaman, CAIT 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.

Confederation of All India Traders (CAIT) 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.

CAIT has also sent a similar representation to Commerce Minister Piyush Goyal to take up the matter with Finance Ministry.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Next Stories
1GST Council asks Infosys chairman Nandan Nilekani to resolve filing issues by July
2Coronavirus scare: FPIs press panic button, withdraw Rs 37,976 crore from Indian markets
3Express Adda: The government should not intervene till necessary in the economy, says CEA KV Subramanian