Q: I have a platinum medical insurance card. Actually I was entitled for a lesser category card but by voluntarily paying additional premium I took the platinum card. Now my family has joined me and I have decided to insure them under lower category but the insurance company does not want to insure them under a lower category. They want them to be covered under platinum category, which is costing me a very high premium. What can I do now? A: As per the rules of the insurance companies, groups are composed of homogeneous members. Suppose you want to form a group, it should be based on any of the criteria like salary, grade, marital status, profession etc. You are not entitled to Platinum Card but you have taken it voluntarily by paying the additional premium. This is not allowed by insurance companies. If you have taken a final decision not to have a platinum card for your family, then you can request the insurance to downgrade your card and take the card, for which you are entitled to. If you have a CCHI coverage then it may make very little difference in terms of sum insured. If it is non-CCHI then you have to look into the sum insured, the network of hospitals and the type of room. Q: We are a small trading company. Recently we awarded a contract to transport our employees from their residences to our facility and back. I would like to know what are the suitable insurances we can insist upon our contractors, who are supplying their vehicles with drivers? A: They should have adequate motor/automobile insurance. Third Party element is now mandatory in Saudi Arabia. You need not insist upon comprehensive insurance. It should provide adequate sum insured (Minimum SR5,000,000) to cover loss of lives and injuries to passengers along with property damage. You can ask them to take Public Liability insurance for this particular contract, which may cost less than SR1,500. You may also insist on personal accident coverage to driver and passengers in the vehicle to the full capacity and/or Legal Liability to the full capacity of the vehicle. This should be able to give you adequate coverage in respect of any losses or liabilities. * Shujaath Ahmed Khan, an MBA, General Manager, Creative Associates is also a consultant and an expert in Insurance, Investments and Real Estate. He can be contacted at [email protected], website-www.creativeassociates.blogspot.com __
