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Supreme Court Reserves Verdict on COVID Insurance, Signals Cover for Private Doctors

The bench plans to frame eligibility rules requiring credible proof of a clinic kept open during the pandemic plus a COVID-19 cause of death to steer insurers’ decisions.

Overview

  • A two-judge bench of Justices P.S. Narasimha and R. Mahadevan heard appeals to widen access to the Pradhan Mantri Garib Kalyan Package beyond staff formally requisitioned for COVID duty.
  • The judges indicated claims should be allowed where evidence shows a doctor kept services open during pandemic restrictions and the death was due to the virus.
  • The Court said it will lay down binding principles rather than decide individual cases, with insurers to apply the framework when adjudicating claims.
  • The Centre, represented by Additional Solicitor General Aishwarya Bhati, maintained the scheme must be interpreted strictly as an insurance contract and warned against expanding eligibility.
  • The bench sought government data on parallel relief schemes and stressed that valid claims must be compelled for payment under the Rs 50 lakh PMGKP cover.