If you are engaged in a job involving a life threat on a regular basis, then getting insurance cover may really be a hard nut to crack
IF YOU are among those who enjoy bungee jumping or extreme sports, or are engaged in extremely hazardous occupations—like doing dangerous stunts or being a member of a bomb disposal squad—then you need to tread with extra care. For, chances are that very few insurance companies in the world would like to give you any cover.
It is just because of this fact that world renowned action star Jackie Chan is still largely barred from insurance cover and so is his stunt team. Chan, in fact, even holds the Guinness World Record for 'Most Stunts By A Living Actor', which notes that "no insurance company will underwrite Chan's productions in which he performs all his own stunts"—a move which has prompted Chan to take care of his team entirely on his own.
But other people, who are in risky jobs and businesses, are not as lucky. In Bollywood, for instance, stunt performers get a raw deal not only from insurance companies, but also from their employers or production houses who hire them for performing stunts. Although stuntmen these days are usually insured under group insurances by associations they are members of, such covers are usually not sufficient to take care of their needs if something untoward happens to them.
But why only stuntmen? Even the list of Bollywood stars who have sustained injuries while shooting is long and includes reigning stars from Amitabh Bachchan to Preity Zinta and from Hrithik Roshan to Viveik Oberoi. However, not much has been done either to improve safety measures on the sets or get adequate cover for the people concerned—the result being that in most cases even stars have to rely on their own personal accident cover which is also not easy to get, particularly when they are doing any lifethreatening scene.
The situation is slightly better in developed countries. For instance, various associations have been set up there for actors, like the Actors' Equity Association—the labour union representing American actors and stage managers in the theatre—which takes care of individual and group insurances of actors, including health, life and pension. In India, however, actors are not insured as such by any association or production houses, and usually take insurance policies for themselves according to sums which they deem appropriate for themselves.
Surprisingly, there's no definite government policy or regulation in place to take care of this malady, except some regulations for employer-employee schemes. It is, however, completely at the discretion of companies as to whether or not they provide life cover for their employees (irrespective of risk profile). This despite the fact that in terms of the Public Liability Insurance Act, 1991, all owners handling hazardous substances are compulsorily required to take an insurance policy to the extent laid down in the Act. This insurance policy broadly covers the owner's statutory liability on no-fault principle for death or injury to any person or damage to property resulting from an accident while handling any hazardous substance.
A top official of an insurance company admits, "There is no policy governing insurance for hazardous occupations other than what is specified under the Workmen's Compensation Act." The Workmen's Compensation Act makes the employer liable for providing compensation to his employees in case of occupational diseases or personal injuries and prescribes the manner in which his liability can be ascertained. The Act provides for cheaper and quicker mode of disposal of disputes relating to compensation through special proceedings.
Moreover, several progressive organisations, including the armed forces, have policies and programmes supporting risk covers to people engaged in hazardous activities. But that is not the case with all organisations.
As far as individuals are concerned, they can also take such covers on their own, provided they are not engaged in extremely-hazardous occupations. "Not all hazardous occupations are excluded from insurance cover, but a job involving a life threat on a regular basis is generally not encouraged by companies," says a Tata AIG Life spokesperson.
Some insurance companies, including Tata AIG, MetLife India, ICICI Prudential, Oriental Insurance, United India Insurance, ICICI Lombard and National Insurance, claim to cover customers engaged in hazardous activities. However, they say, the process may involve a detailed assessment and premium adjustment to make it commensurate with the risk involved.
We do provide insurance cover for people involved in hazardous work, based on the additional information on the level of training, measures and security levels to avoid any unfortunate event. On availability of this information, insurance cover is considered with additional premium.
For example, an engineer who supervises for any quarry/mine operation may have a lesser additional premium when compared to a worker who works inside the quarry/mine. These additional premiums are usually quite nominal.
The premiums are higher for these categories since the risk taken by the insurance companies to insure them is higher than the average insured. Also, the probability to claim is higher. But in cases where proper training and licenses have been taken, it is not necessary that higher premiums will have to be paid. However, the term is usually smaller for these insurances and the risk is re-assessed on each renewal.
Whatever be the case, it is necessary for workers to find out if the company they are working with provides an adequate cover. If not, then they should approach insurers to find out what additional can be done by paying additional premium. It is in the interest of the people employed in hazardous occupations to buy health and life insurance policies, depending on their risk exposure.
Particularly if you are in a less-hazardous occupation, like working as a marine engineer, a pilot or an investigative journalist, then getting a life cover won't be that difficult. However, in such cases too insurers advise customers to mention his/her occupation and the details of hazards involved to help them assess the risk involved and avoid non-disclosures at the time of claim. You should, however, always keep it in mind that at times, the accident benefit rider or even the life cover may be denied if the risk element is found to be exceptionally high!
PERFECT STUNTS
Not all hazardous occupations excluded from insurance cover. A job involving life threat on regular basis not encouraged
Insurance in such cases is considered on basis of level of exposure to risk & probability of any untoward event
Assessment & subsequent product pricing vary from company to company, depending on their underwriting norms
No definite govt policy or regulation in place, except some regulations for employer employee schemes
