Explanation:

The Insurance Regulatory and Development Authority of India (IRDAI) has set up a nine-member committee under Chairmanship of G Srinivasan (former CMD of New India Assurance) to study the feasibility of allowing life insurers to offer indemnity-based health policies. As of now, only general insurance firms and specialised health insurance companies are allowed to offer indemnity-based health policies. IRDAI (Health Insurance) Regulations 2016 allow life insurance companies to offer benefit based health insurance products only. The IRDAI move follows intense lobbying by private life insurance companies for an entry into the fast-growing health insurance segment. In an indemnity-based health insurance plan, the policyholder is reimbursed the cost of medical expenses. These plans will reimburse the policyholder with the actual amount incurred as expenses during a hospitalisation stay up to the sum insured under the policy.