{"id":12672,"date":"2020-04-13T11:35:44","date_gmt":"2020-04-13T11:35:44","guid":{"rendered":"https:\/\/securenow.in\/blog\/?p=12672"},"modified":"2022-10-21T05:35:04","modified_gmt":"2022-10-21T05:35:04","slug":"indemnity-principle-doesnt-apply-to-life-insurance-since-loss-is-not-quantifiable","status":"publish","type":"post","link":"https:\/\/securenow.in\/insuropedia\/indemnity-principle-doesnt-apply-to-life-insurance-since-loss-is-not-quantifiable\/","title":{"rendered":"Indemnity principle doesn\u2019t apply to life insurance since loss is not quantifiable"},"content":{"rendered":"
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Published in Livemint<\/a>. Written by Abhishek Bondia
\nI have two term policies with sums assured of \u20b920 lakh and of \u20b930 lakh. They are from two different insurers. I also have a money-back policy of \u20b910 lakh. If a claim was to be made, would all three policies be enforceable?<\/strong>
\n\u2014Manish Jalan
\nYes, they will be enforceable. In the case of life insurance policies, the principle of indemnity does not apply. The indemnity principle means that the policy payout should restore the insured to the same financial position in which he was before the loss happened. Since the value of human life cannot be ascertained, the principle of indemnity does not apply as it is not possible to quantify the loss.
\nLife insurance policies are fixed benefit policies. When a claim is triggered, the defined sum assured gets paid out irrespective of other existing policies of the insured. Thus, in the case of life insurance, if you have multiple plans, all of them would pay a claim independently to the nominees listed in each policy.<\/p>\n

My wife and I are planning to buy a health insurance policy that rewards policyholders for keeping good health. I believe the company monitors health and workouts through wearables. I want to know how such plans work, and how long I need to have the wearable. Wearables capture a lot of data, so I also want to know if there are any regulations from the Insurance Regulatory Authority of India (Irdai) regarding the use of such data by the insurer.<\/strong>
\n\u2014Name withheld on request
\nHealth insurance plans which offer rewards for maintaining good health usually have their own mobile apps. When you buy the policy, you are required to download the app, which then tracks your health, the number of steps that you take, your cardiac condition, and so on. Some of this activity could be tracked through wearables as well. If the application records an improvement in health due to your lifestyle, the same is relayed to the insurer, who then offers you related benefits. There are no specific regulations against the use of such data for the insurer. However, this is an area being looked at closely by the regulator. Irdai also recently approved a few proposals under the regulatory sandbox for app-monitored wellness programs.<\/p>\n","protected":false},"excerpt":{"rendered":"

Published in Livemint. Written by Abhishek Bondia I have two term policies with sums assured of \u20b920 lakh and of \u20b930 lakh. They are from two different insurers. I also have a money-back policy of \u20b910 lakh. If a claim was to be made, would all three policies be enforceable? \u2014Manish Jalan Yes, they will […]<\/p>\n","protected":false},"author":4,"featured_media":2519,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"om_disable_all_campaigns":false,"_lmt_disableupdate":"","_lmt_disable":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[383,319],"tags":[],"class_list":["post-12672","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-newspaper-columns","category-media"],"acf":[],"modified_by":null,"_links":{"self":[{"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/posts\/12672","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/comments?post=12672"}],"version-history":[{"count":3,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/posts\/12672\/revisions"}],"predecessor-version":[{"id":23733,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/posts\/12672\/revisions\/23733"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/media?parent=12672"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/categories?post=12672"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/securenow.in\/insuropedia\/wp-json\/wp\/v2\/tags?post=12672"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}