What is student personal accident insurance according to the law in Vietnam? Is it mandatory to pay student personal accident insurance at the beginning of the school year in Vietnam?

What is student personal accident insurance according to the law in Vietnam?

Student personal accident insurance, similar to student accident insurance, is a type of insurance that helps cover medical expenses and provides financial support for students in case of accidents or illnesses during their education and participation in physical activities.

It can be understood that student accident insurance falls under the category of health insurance. The insured object in a health insurance contract is human health. Health insurance operations include: Health insurance, personal accident insurance, and medical expense insurance.

Student personal accident insurance usually has a broader coverage, including both illnesses and common injuries besides accidents.

*Note: Information is for reference only./.

Is it mandatory to purchase student personal 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 supported by the state budget for insurance premiums.

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 specified as follows:

Periodically every 03 months, 06 months, or 12 months, the student, or their parent, guardian has the responsibility to pay the health insurance part that is their responsibility according to the provisions of clause 2, Article 10 of Decree 146/2018/ND-CP to the social insurance agency;

Therefore, students are required to participate in health insurance and are supported by the state budget for health insurance premiums.

Thus, student personal accident insurance (one type of health insurance) is a voluntary insurance for students.

Based on clause 15, Article 4 of Insurance Business Law 2022, health insurance is a type of insurance for cases where the insured person is injured, has an accident, gets sick, or needs health care.

It can be understood that student personal accident insurance belongs to the category of health insurance. The insured object in a health insurance contract is human health. Health insurance operations include: Health insurance, personal accident insurance, and medical expense insurance.

Therefore, student personal accident insurance is voluntary and thus not mandatory to be purchased at the beginning of the school year.

*Note: For better safety of the children at school, parents should consider purchasing it.

What is student personal accident insurance according to the law in Vietnam? Is it mandatory to pay student personal accident insurance at the beginning of the school year in Vietnam?​ (Image from the Internet)

What are the benefits when parents purchase personal accident insurance for students in Vietnam?

Based on Article 34 of Insurance Business Law 2022, the policyholder has insurable interest for the following people:

- The policyholder himself/herself;

- The policyholder's spouse, parents, and children;

- The policyholder's siblings or other persons who have a nurturing or support relationship with the policyholder;

- Persons who have a financial or labor relationship with the policyholder;

- Persons who consent in writing to the policyholder purchasing health insurance for them.

At the time of entering into the insurance contract, the policyholder must have an insurable interest.

It can be understood that the benefit when parents purchase personal accident insurance for their children ensures basic health coverage for them.

What are the contents of student personal accident insurance in Vietnam?

Based on Article 17 of Insurance Business Law 2022, life insurance contracts and health insurance contracts must include the following main contents:

- The policyholder, the insured person, the beneficiary (if any), the insurer or the branch of the foreign non-life insurer;

- The insured object;

- The sum insured or the value of the insured asset or the limit of insurance liability;

- The coverage or insurance benefits; insurance rules, conditions, terms;

- The rights and obligations of the insurer, the branch of the foreign non-life insurer, and the policyholder;

- The insurance period, the effective time of the insurance contract;

- The insurance premium, the method of paying the insurance premium;

- The method of compensation, payment of insurance money;

- The 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] The policyholder, the insured person, the beneficiary of life insurance contracts, health insurance contracts

...

[2] Sum insured

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

...

[3] Insurance benefits, coverage

- Insurance benefits, coverage, and exclusion clauses must be clearly stated in the rules, conditions, and terms of insurance. If the insurer, foreign non-life insurer's branch provides conditional insurance (providing insurance when the insured person does not meet the insurer's standard insurance conditions), this must be clearly stated in the insurance contract.

...

[4] Insurance rules, conditions, terms

...

[5] Rights and obligations of the policyholder of life insurance contracts, health insurance contracts

...

[6] Rights and obligations of the insurer, foreign non-life insurer's branch

...

[7] Insurance period

- The insurance period is calculated from the time the insurer, the branch of the foreign non-life insurer starts receiving the insurance until the insurance ends. The insurance period must be stated in the insurance contract.

- For retirement insurance contracts, the accumulation premium payment period and the retirement insurance benefit period must be clearly stated.

[8] Effective time of the insurance contract

...

[9] Insurance premium, method of paying insurance premium

...

[10] Payment of insurance money

...

[11] Dispute resolution method

...

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