What is Health Insurance?

Health insurance is a type of policy that provides individuals with protection in the event of illness or injury. Under the terms of the policy, the insurer agrees to cover the medical expenses incurred by the insured, including hospitalizations, surgeries, and other medically necessary procedures outlined in the contract. This valuable coverage allows individuals to access top-quality medical care without the fear of financial strain or depletion of savings.

What are the Types of Health Insurance?

Indemnity

• INDIVIDUAL INDEMNITY-BASED POLICY:  An individual indemnity-based health insurance policy provides coverage to the insured for the cost of medical expenses up to the sum insured in the policy. The insured must submit hospital bills with details of the expenses incurred during the stay to receive reimbursement.
• FAMILY FLOATER PLAN: A family floater health insurance plan is similar to the individual policy but extends to and covers the entire family. In the event of multiple illnesses, the sum assured is divided between family members to cater to multiple claims simultaneously.
• SENIOR CITIZEN PLAN: For individuals above the age of 60, the Senior Citizen health insurance plan provides financial aid to cover medical treatments. These plans often offer critical illness cover, cashless hospitalisation, pre-existing conditions cover, and a higher sum assured, ensuring the right coverage at the right time.

Critical Illness

Critical illness coverage is a valuable financial tool that can be provided as a supplementary rider or as an independent policy. This coverage offers a lump sum benefit in the event of the policyholder's diagnosis with a severe ailment such as cancer, heart disease, paralysis, renal failure, and more. It is important to note that there is typically a waiting period of 90 days before the policyholder can make a claim for their initial diagnosis.

Given the unpredictability and high costs associated with treating critical illnesses, this type of coverage provides individuals with peace of mind and financial security during an already difficult time. As a result, it is imperative to carefully consider incorporating critical illness coverage into one's overall financial planning strategy.

Top-Up

• Individual: An individual seeking additional healthcare coverage may opt for a top-up individual health insurance policy, which is an indemnity plan designed to provide coverage to those with an existing health insurance policy. This valuable coverage allows individuals to claim medical expenses even after the sum insured has been exhausted. It is important to note that this policy includes mandatory deductibles and coverage is only provided once the deductibles have been paid.
• Family Floater: Families with an existing health insurance policy may choose a top-up family health insurance policy to supplement their coverage. This indemnity policy offers valuable coverage to families, allowing them to claim medical expenses even after the sum insured has been exhausted. By paying the mandatory deductibles, families can ensure that they have access to the medical treatment they need without worrying about the high costs associated with it.

Specific Plans for Critical Illnesses

With the rise in the number of people suffering from critical illnesses, health insurance plans now offer specific coverage for diseases like cardiac conditions, diabetes, hypertension, and cancer. These plans cater to patients with the specific disease and cover a range of medical expenses such as tests, treatments, and hospitalization.

• Cardiac Health Insurance: These plans provide coverage for various medical expenses related to heart conditions. These plans cater to patients with cardiac diseases and cover the costs of diagnostic tests, treatments, and hospitalization.
• Diabetes and Hypertension Health Insurance: These plans provide coverage for hospitalization from the first day of diagnosis. Based on medical tests and health parameters like BMI, blood pressure, HbA1c, cholesterol, these plans even offer incentives to maintain good health.
• Cancer Health Insurance: These plans provide coverage for all medical treatment expenses that arise due to cancer at any stage. A portion of the cover is received upon diagnosis of cancer at an early stage, waiving off all future premiums. If diagnosed at a later stage, the full cover amount is received with an additional income for a stipulated period.

Personal Accident

Personal accident insurance provides coverage in the event of an accident, which is not typically included in life or health insurance policies. In the unfortunate occurrence of an accident, standard insurance policies may not cover loss of life or the inability to earn an income. However, a personal accident policy offers comprehensive coverage for loss of life, limb, or disablement resulting from accidents that occur during the commute, workplace, or general daily activities. This insurance product is designed to provide financial protection and peace of mind in the event of an unforeseen accident.

HospiCash

HospiCash insurance is a daily cash plan designed to provide financial assistance to the insured during their hospitalization. This insurance product offers a predetermined daily allowance, which remains fixed throughout the policy term and is not subject to adjustment. As a defined benefit plan, hospicash insurance provides a predictable and reliable source of financial support to the policyholder during their stay in the hospital. This insurance policy is an excellent way to ensure that unexpected medical expenses do not become a financial burden for you or your loved ones.