Credit cards cover terror attacks

By siliconindia   |   Thursday, 11 December 2008, 15:58 IST
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Bangalore: A credit card can be a terror cover with card issuers providing options to cover claims in case of 'death due to any cause'. "Terror attacks would automatically be included in a policy that covers 'death due to any cause'. It would also be absurd to make a distinction between damaged caused by state action against terrorists and damaged caused by terrorists during encounters while paying claims," says Insurance Regulatory and Development Authority (IRDA) member (actuary) R Kannan. As reported by Economic Times, several banks like Citibank and HSBC provides such benefits to the card holders, either complimentary or a paid cover. While the former's customers can purchase the personal accident covers from Royal Sundaram Alliance Insurance or New India Assurance Company, the latter provides it for free to its 'Premium' and 'Platinum' card holders. The quantum of cover depends on the sum assured under the scheme like HSBC's Platinum card holders gets cover of one crore rupees in case of accidents travelling by air and up to 10 lakh for accidents in the course of rail or road travel. However, for its Classic card and Gold card holders, the cover is for two lakh rupees and 4.5 lakh respectively.