1

While working at a company in India, I was covered by a corporate insurance policy. Also, I was asked to pay the annual premium for including my parents to the policy.

In December, I had to resign for some unrelated issues and try some freelancing. At that time, HR orally told me that the coverage will continue till May, but the insurance agent said that coverage stops when I resign. When I crosschecked with HR, I was told that the agent may not be aware, but coverage continues till May.

(A) Is it generally the case that corporate coverage is for whole years, even if the employee resigns in the middle ?
(B) What happens to coverage for parents, when the employee has paid the annual premium for parents ?

2

Is it generally the case that corporate coverage is for whole years, even if the employee resigns in the middle ?

This depends on what is agreed and negotiated with the insurance company. There are different policies, generally the Employee Group Life Insurance and Group Medical insurance sponsored and paid by company are terminated when the employee resigns on last working day.

What happens to coverage for parents, when the employee has paid the annual premium for parents ?

Generally Parent Medical Policy if funded by the employee, is valid for the full year even if you resign.

These details are not something you should rely on Oral. Have a written communication. You should also get a policy document that would give the details of the policy and terms of expiry more so if the policy is funded by you.

  • 1
    "Generally Parent Medical Policy if funded by the employee, is valid for the full year even if you resign" : thanks ! Maybe HR was right and insurance agent was not aware ! Ok, I will have to contact HR to get the written communication and the policy document .... – Prem Mar 1 '18 at 7:50
  • +1 for "have written communication". Outside of India, I had written communication and the insurance was cancelled regardless. Written communication meant I had recourse. – ChrisInEdmonton Mar 1 '18 at 12:54
  • @ChrisInEdmonton , Were you able to reinstate your insurance with your recourse ? Did the written communication help ? [[ by the way , Did you forget to upvote ? because with our upvotes, answer should have +2 votes, unless somebody somewhere gave a -1 ]] – Prem Mar 1 '18 at 15:23
  • I was not able to reinstate my insurance but this was part of the wrongful death suit, so was covered elsewhere, where written communication helped. – ChrisInEdmonton Mar 1 '18 at 18:53

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