Did you know? Debit, credit cards come with accident insurance cover

Not many customers are aware of this; experts suggest customers check with their banks about the kinds of insurance policies offered

Debit and credit cards issued by banks come with a complimentary personal accident insurance cover, which not many customers are aware of.

Consumer activist T. Sadagopan said he came to know about the insurance cover only through a social media post and a recent advertisement given by a public sector bank on their card offering.

A senior official from Chennai-based Indian Bank said the bank provides insurance cover for debit cards under the RuPay card programme, since it is issuing only RuPay Debit cards by default. All credit card variants issued by the bank are eligible for insurance coverage, he added. Insurance is offered for accidental death and permanent total disability to the customers. The insurance coverage varies from ₹50,000 to ₹10 lakh based on card variants under debit and credit Cards, the Indian Bank official said. The personal accident policy covers death occurring only due to accidents or accidental injuries which are non- intentional or not self-inflicted, he added.

Sources at HDFC Bank said the insurance coverage depends on the kind of relationship the customer has with the bank and the insurance coverage starts from ₹2 lakh and goes up to ₹10 lakh for both debit and credit cards.

Mr. Sadagopan said customers lack awareness about such facilities being offered and it is the duty of the banks to inform the customers. One of the conditions for claiming the insurance is that the card should be in active use and the claims should be made within a particular time frame.

For instance, under the Rupay insurance programme, claim intimation should be done within 90 days from the date of accident and all supporting documents relating to the claim must be submitted within 60 days from the date of intimation. It also said the cardholder should have done an active transaction (either a financial or non-financial transaction) 90 days prior to the date of accident.

Experts suggest that customers check with their respective banks about the kind of insurance offered and the procedure and conditions for insurance claim.

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