New Delhi, 10 May 2025: Kotak Mahindra Bank has announced a huge change that will impact its debit cardholders. Starting July 20, 2025, the bank will no longer provide insurance benefits that were previously offered with its debit cards, including personal accident cover, purchase protection, and lost baggage coverage.
For years, these benefits provided a safety net for customers, offering financial assistance in case of accidental death, travel mishaps, or fradulant purchases. Previously the personal accident cover ensured that cardholders received compensation of up to ₹15 lakh in case of accidental death due to rail or road accidents.
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Similarly, the lost baggage insurance covered up to ₹1 lakh, provided the travel tickets were purchased using the Kotak Mahindra debit card. The purchase protection feature safeguarded goods for 60 days post-purchase, with coverage extending up to ₹1.5 lakh, depending on the card variant.
Additionally, Kotak Mahindra debit cardholders benefited from air accident insurance (up to ₹5 lakh) and lost card liability (up to ₹6 lakh), which helped during financial risks in case of unfortunate circumstances. However, with the bank’s latest decision, these insurance benefits will no longer be available after the specified date.
Customers who have already filed insurance claims before July 20, 2025, will still have their claims processed under the existing terms.
