Debit cards have up to Rs 3 cr insurance: Eligibility

Certain debit card variants of most banks come with free accidental insurance coverage up to Rs 3 crore in some cases. This insurance coverage is given for free, and neither is any premium charged from the debit card holder nor any documents asked for by banks. However, do note that this is a group insurance policy, hence independent policy numbers at a cardholder level are not available.

Also read: How to claim Debit card insurance coverage without a policy number


What do you need to do to get free debit card insurance?

Banks that give out free accidental insurance coverage on select debit card variants have certain terms and conditions. One of the most important terms and conditions is that the cardholder should have conducted certain transaction(s) using that specific debit card within a certain period.

For example, according to the HDFC Bank website HDFC Bank’s Millennia debit card has a free insurance cover of Rs 5 lakh for domestic Air/Rail/Road travel and Rs 1 crore for international air travel. For the insurance policy to be active on this specific card, a debit cardholder needs to conduct at least one transaction in the last 30 days.

The very definition of conducting transactions for being eligible for free accidental insurance coverage on a debit card varies from bank to bank. For example, Kotak Mahindra Bank classic debit card holders must conduct at least two transactions of Rs 500 each minimum in the last 30 days to be eligible for the free insurance coverage. DBS Bank India’s infinity debit card holders must do one transaction in the last 90 days.


Know which transactions qualify for free debit card insurance cover

Only certain specific transactions are eligible for free insurance cover on debit cards. According to Prashant Joshi – MD and Head – of Consumer Banking Group, DBS Bank India, “UPI transactions are not eligible for insurance cover.”

Here’s what transactions qualify for free debit card insurance cover:

  • Point of sale (POS) transactions,
  • E-commerce online transactions

What are the documents required to claim free insurance on a debit card?

The requirement of specific documents may vary, however a list of common documents which is asked by most banks is given below:


  • Contact details of nominee (Contact person name, contact number, address),
  • Duly completed claim form,
  • Original Death Certificate
  • Complete Post Mortem report
  • Only for accident cases an FIR/Panchnama/Inquest Panchnama is required. If available then spot Panchnama along with a photo of the accident spot and vehicle involved is also required,
  • Details of the debit card which had free insurance cover
  • If the incident was reported by the media or newspaper then cuttings of the same must be given,
  • If the cardholder had died on-spot then the death certificate must have mentioned the medical cause,
  • If the cardholder had died in the hospital while taking treatment, then the hospitalisation papers and admission summary is required,
  • If the cardholder has not updated the nominee details with the bank, then a legal heir certificate is also required,
  • Salary slip or business incorporation certificate (if applicable),
  • Driving license if the debit card holder drove a vehicle.

Further, if documents are in vernacular language, then translation of documents must be undertaken and made notarised.

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Harry Byrne

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