What is BIMA-ASBA?
Bima-ASBA stands for Bima Applications Supported by Blocked Amount. It is a premium payment facility mechanism allowed by IRDAI that uses the Unified Payments Interface (UPI) One-Time Mandate (OTM). Instead of paying the premium upfront, the customer authorizes their bank to block the required amount for up to 14 days (max) in their account and helps in reducing refund-related issues. The money is only debited if the insurer accepts the proposal. If the proposal is rejected or cancelled, the blocked amount is released back to the customer without deduction within one working day.
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List of Content
Who Can Benefit from Bima ASBA?- How does Bima ASBA work?
- What if There’s a Delay/ No More Waiting Worries: Your Money Stays Safe
- Why Choose Bima ASBA with TATA AIG
Who Can Benefit from Bima ASBA?
This facility is available to individual policyholders applying for health insurance policies
Benefits of Bima ASBA facility
Customer Choice: Opting for Bima ASBA is voluntary; and is completely on the customer’s discretion to choose.
No Upfront Payment: Premium amount is blocked in your bank account and debited only after acceptance of your health insurance proposal.
Smooth experience: Keeps you informed at every stage—blocking, debiting, or unblocking—so you always know the status of your funds.
No Waiting for refund: In case the proposal is rejected by Insurer, the premium amount is unblocked and the amount is released back to the customer without deduction within one working day
How does Bima ASBA work?
Customer selects the option of Bima-Asba during the policy application stage
Insurer requests your bank to block the premium amount.
Premium amount will remain blocked in the bank account and won’t be available for any other transaction till the insurance underwriting gets completed or 14 days, whichever is earlier
If proposal is accepted → blocked amount is debited and transferred to insurer.
If rejected or cancelled → amount is released back to customer within 1 day.
What if There’s a Delay/ No More Waiting Worries: Your Money Stays Safe
If we don’t process your proposal within 14 days, the blocked amount is automatically released back to your account. Your money is never held indefinitely.
Why Choose Bima ASBA with TATA AIG
At TATA AIG General Insurance, we believe in making insurance simple, transparent, and customer friendly. Bima ASBA is another step towards protecting your money while giving you peace of mind.
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