Is it compulsory to pay student accident insurance at the beginning of the school year in Vietnam?

Is it compulsory to pay student accident insurance at the beginning of the school year in Vietnam?

According to Clause 3, Article 4 of Decree 146/2018/ND-CP (amended by Points a and b, Clause 2, Article 1 of Decree 75/2023/ND-CP), students belong to the group whose insurance premiums are subsidized by the state budget.

At Point a, Clause 5, Article 9 of Decree 146/2018/ND-CP (amended by Points a and b, Clause 4, Article 1 of Decree 75/2023/ND-CP), the method of paying health insurance for students is as follows:

Every 3 months, 6 months, or 12 months, students, or their parents or guardians are responsible for paying the health insurance premiums according to the provisions in Clause 2, Article 10 of Decree 146/2018/ND-CP to the social insurance agency.

Thus, students are the object of compulsory health insurance participation and are subsidized by the state budget for health insurance premiums.

From this, it can be seen that student accident insurance (one type of health insurance) is voluntary for students.

According to Clause 15, Article 4 of the Insurance Business Law 2022, health insurance covers cases where the insured suffer injury, accident, illness, or need healthcare services.

Student accident insurance is a type of health insurance. The insured under health insurance contracts is human health. Types of health insurance opersssssssations include: Health and body insurance; Medical expense insurance.

Therefore, student accident insurance is voluntary and not mandatory at the beginning of the school year.

However, for the betterment of children when attending school, parents should consider it.

Is it compulsory to pay student accident insurance at the beginning of the school year in Vietnam? (Image from the Internet)

What are the benefits for the policyholder of student accident insurance in vietnam?

According to Article 34 of the Insurance Business Law 2022, policyholders have insurable interests in the following entities:

- Themselves;

- The policyholder’s spouse, parents, or children;

- Siblings or other individuals with a nurturing or maintenance relationship with the policyholder;

- Individuals with financial or employment relations with the policyholder;

- Individuals who have agreed in writing that the policyholder may buy health insurance for them.

At the time of concluding the insurance contract, policyholders must have insurable interests.

What does student accident insurance in Vietnam Include?

According to Article 17 of the Insurance Business Law 2022, life insurance contracts and health insurance contracts must include the following essential contents:

- Policyholder, insured, beneficiary (if any), insurer or foreign non-life insurer’s branch;

- The subject matter of insurance;

- Sum insured or value of insured assets or limit of liability;

- Scope or benefits of insurance; rules, conditions, terms of insurance;

- Rights and obligations of the insurer, foreign non-life insurer’s branch, and policyholder;

- Insurance duration, effective time of the insurance contract;

- Insurance premium percentage, method of premium payment;

- Method of compensation payment;

- Method of dispute resolution.

The contents of life insurance contracts and health insurance contracts are detailed in Chapter 3 of Circular 67/2023/TT-BTC as follows:

(1) Policyholder, insured, beneficiary in life insurance and health insurance contracts

...

(2) Sum insured

- The insured amount or the method of determining the insured amount is mutually agreed upon by the policyholder and insurer in the insurance contract.

...

(3) Insurance benefits, scope of insurance

- Insurance benefits, scope of insurance, and exclusions must be clearly stated in the terms, conditions, and clauses of the insurance. If insurers or foreign non-life insurers’ branches offer conditional insurance (providing insurance when the insured's participation criteria are below the insurer's standard), this must be clearly stated in the insurance contract.

...

(4) Insurance rules, conditions, and clauses

...

(5) Rights and obligations of policyholders in life insurance and health insurance contracts

...

(6) Rights and obligations of insurers, foreign non-life insurers' branches

...

(7) Insurance duration

- Insurance duration is calculated from the time the insurer or foreign non-life insurer’s branch begins to insure until the end of the insurance period. The insurance duration must be stipulated in the insurance contract.

- For pension insurance contracts, the premium accumulation period and the period for receiving pension benefits must be clearly defined.

(8) Effective time of the insurance contract

...

(9) Insurance premium percentage, method of premium payment

...

(10) Compensation payment

...

(11) Method of dispute resolution

...

View the full contents in Chapter 3 of Circular 67/2023/TT-BTC (from Article 9 to Article 19)