Free Insurance: Insurance is one of the most common ways people protect themselves and their families against unexpected financial difficulties. Whether it is life, health, or accident insurance, policyholders generally need to pay regular premiums to receive coverage and other benefits.
But did you know that some everyday financial products and essential services can also come with insurance benefits at no separate cost? Many people may already have access to such coverage without being fully aware of it.
From debit cards and EPFO accounts to Jan Dhan accounts and LPG connections, several commonly used services can provide insurance protection under certain conditions. Here is a look at some of these benefits.
Debit Cards Can Come With Insurance Cover
Debit cards are now a routine part of banking, but many account holders may not realise that their card can also provide insurance benefits.
When you open a savings account, your bank generally provides a debit or ATM card. Depending on the card and the applicable bank terms, the cardholder may be eligible for complimentary accident or life-related insurance coverage.
Some debit cards can provide insurance benefits of up to ₹5 lakh. If the eligible cardholder dies or suffers a covered accident, the cardholder or their nominee/family may receive the applicable benefit, subject to the card’s terms and conditions.
The exact amount of coverage and eligibility requirements can vary from one bank and card type to another, so customers should check their specific debit card benefits.
EPFO Members Get Insurance Protection
Employees registered with the Employees’ Provident Fund Organisation (EPFO) receive more than just retirement savings through their PF account.
Eligible EPFO members are also covered under the Employees’ Deposit Linked Insurance (EDLI) Scheme. Under the scheme, eligible members can receive insurance benefits of up to ₹7 lakh in case of death while in service, subject to the applicable rules.
The benefit is intended to provide financial support to the family or nominee of an eligible member. Since this coverage is linked to EPFO membership, employees generally do not need to purchase a separate insurance policy for this particular benefit.
Jan Dhan Accounts Also Offer Insurance Benefits
The Pradhan Mantri Jan Dhan Yojana (PMJDY) was introduced to expand access to banking and financial services, particularly for people who previously had limited access to formal banking.
A Jan Dhan account can provide several benefits beyond basic banking facilities. Eligible account holders may receive accident insurance coverage through the RuPay debit card issued with the account.
The insurance benefit can include accidental cover of up to ₹1 lakh, while certain eligible older accounts may have additional coverage depending on the applicable scheme and card terms. In some cases, the overall benefit can reach ₹1.30 lakh when the applicable accidental and death-related benefits are combined.
However, eligibility and coverage depend on the account, card, activation requirements and prevailing scheme rules.
LPG Gas Cylinders Come With Accident Insurance
LPG cylinders are used in millions of households across India, but many consumers may not be aware that an LPG connection comes with certain insurance protection.
Under the applicable LPG public liability insurance arrangements, customers can receive coverage for certain accidents involving LPG, subject to the policy conditions. The protection is intended to provide financial assistance in cases involving covered incidents, such as an accident caused by an LPG cylinder or related equipment.
This makes it important for LPG consumers to follow all safety instructions and ensure that their connection and equipment meet the required safety standards.
Check Your Existing Benefits Before Buying Extra Cover
Insurance benefits are not limited to policies purchased directly from an insurance company. Certain banking services, employment-linked schemes and essential household connections can also provide coverage under specific conditions.
However, the amount of insurance, eligibility criteria, exclusions and claim process can differ depending on the product or scheme. Therefore, customers should verify the latest terms with their bank, EPFO, LPG distributor or relevant authority before relying on any complimentary insurance benefit.
Understanding these existing benefits can help you make better financial decisions and ensure that you do not overlook insurance protection you may already be entitled to.