Life insurers fast-tracking processing of COVID claims

MANILA, Philippines — The life insurance industry has adopted measures to expedite the processing of claims related to the coronavirus disease 2019 or COVID-19, the Philippine Life Insurance Association Inc. (PLIA) said.

In a statement, PLIA said its members, in partnership with the Insurance Commission, is implementing a special claims management process for COVID-19 related claims to ensure relaxed requirements and faster settlement of claims.

“This is the least our industry can do to provide assistance to our policyholders in their time of need,” Benedict Sison, president of PLIA, said.

Sison gave assurance that the “life insurance industry is ready to respond to any eventualities that this outbreak may bring in terms of potential claims.”

To ensure continued services to its clients, life insurers in the country have activated their work-from-home protocols and business continuity plan arrangements, the PLIA chief said.

“The objective is to enable continued services to our policyholders, though on a reduced capacity under the prevailing constraints, while at the same time observing necessary health safeguards for the safety of all concerned,” Sison said.

Insurance firms are also implementing various actions, such as extending the grace period on the payment of premiums, retaining skeleton home or online call center operations, and working on policyholder requirements despite current operational restrictions.

“Together with the Insurance Commission, PLIA will continue to monitor the situation and will respond accordingly to any unusual developments, always with the interest of the insuring public in mind,” PLIA said.

“We remain confident that with the prudent regulations prescribed by the Insurance Commission to assure financial health of insurance companies, we will continue to serve the industry and its policyholders well,” it added.

Earlier, the Insurance Commission asked local insurers and health maintenance organizations to speed up the processing of claims that are related to the COVID-19.

Insurance Commissioner Dennis Funa said they should relax and streamline existing company procedures and mechanisms to facilitate the process, and enhance services to improve overall customer claims experience.

Funa encouraged all regulated entities to extend the grace period for the payment of insurance premiums or contributions by at least another 31 days. This covers policies and plans that remain unpaid during the period from March 15 to April 13, or to a later date deemed appropriate by the company.