How many insurance plans
does it take to cover 59# critical illnesses?
59# CRITICAL ILLNESS COVERED AT र14*/DAYKNOW MORE BUY ONLINE *T&C Apply
A health insurance policy is essentially a contract between an insurance company and the policyholder, whereby the insurer will pay for medical expenses of the policyholder (as per conditions highlighted in the health insurance policy document). The insurer will either reimburse you for your medical expenses or settle the bill directly with the hospital. In order to avail a health insurance policy, policyholders have to pay a premium, which varies from customer to customer and insurer to insurer as a result of various factors, including, age, lifestyle, job, gender, history of medical illnesses, family history of various diseases, amongst other factors. Health insurance plans offer the policyholder coverage against hospitalization charges, pre-hospitalization charges, post-hospitalization charges and ambulance expenses. Health insurance policies are extremely flexible and policyholders can reduce their health insurance premium amount after a specified period and they can even change their policy duration.
56% of Indians still do not have a health insurance cover. Due to the same they spend out of pocket from their monthly income or savings on availing health services, which hinders the social and economic development of the country. In fact, as per data provided by the Public Health Foundation of India (PHFI) out-of-pocket health expenses drove 55 million Indians into poverty in 2017, and of these, 38 million (69%) were impoverished by expenditure on medicines alone. The importance of having a health insurance policy can not be emphasized enough, especially given the rising cost of availing healthcare and the crippling impact a disease can have on your finances and future. There are a range of benefits offered by health insurance policies due to which you should opt for them:
Health insurance premiums vary from insurer to insurer and from customer to customer. There are several factors, including your age, income, gender, family history of medical illnesses amongst several others that influence how much premium you would be paying. Here are some factors that affect the rate of premium that you are being charged under health insurance:
Before finalizing an amount under health insurance cover, you should take cognizance of factors like age, current health status, life-stage, city of residence, medical history, nature of job, lifestyle and the extent of coverage you can afford. Thus, it is difficult to give an exact amount that would serve everyone’s needs. You can arrive at an apt figure that fits your individual needs only after considering all these factors collectively. As a ballpark figure, however, for a family of two adults and two children living in an urban space like the metros, a health insurance plan with Rs.10 lakh sum insured should be adequate. In any case, a minimum sum of Rs.5 lakh is an absolute necessity for a robust health insurance cover. Here’s how you arrive at a figure: consider your age and the life-stage you are at. At a young age you have lower chances of pre-existing health conditions, so you can get a small health insurance cover. Then, each year you can increase it by some percentage. Similarly, if you have a family and/or dependent to take care of, consider a family floater plan with a wider health insurance cover. If there’s a family history of a particular ailment, you should check the costs of different medical procedures and treatments involved to get a sense of how much health insurance cover you may need for any possible diagnosis in the future.
One of the most important points to remember when you are buying a health insurance cover is that this cover will be used in the future. Medical inflation far outpaces the overall inflation. India has witnessed a steady rise in health inflation, even as the rate of overall inflation has fallen. In fact, in January 2019, health as a contributor to inflation even surpassed education and housing. The Global Medical Trends Report by Willis Towers Watson also explains how the high cost of new medical technologies is also a contributing factor to the increasing medical costs. Other factors driving such costs include global population ageing and poor lifestyles. A report by Mercer Marsh Benefits mentioned that the projected medical trend rate hovers at 10 percent in India, while inflation will be at 5 percent. Therefore, when deciding to buy a health insurance policy, you need to factor in this rising cost.
Considering the epidemic of lifestyle-related diseases across towns and cities, you should also consider supplementing your health insurance plan with top-up plans with time. Ultimately, ask yourself one question: is your health insurance cover enough, considering the double-digit health inflation?
Riders in health insurance policies can be defined as an attachment or an amendment to an existing policy that provide coverage in addition to the basic health insurance plan. Usually, riders / add-on covers are used to strengthen an insurance policy by providing additional benefits and coverage. Conditions of riders and their costs vary from insurer to insurer based on insurance plan, premium rate and other conditions defined in the plan. There are a range of riders offered along with health insurance policies to help you customize your policy as per your needs without having to buy a completely new policy. A major perk of adding riders to your health insurance policy is that they provide extended coverage at affordable rates. Thanks to IRDAI regulations, there is a limit on the premium charged for riders (30% of the basic insurance premium) ensuring that they are affordable, yet offer you extended coverage.
If your cancer is diagnosed at a minor stage: Regardless of the coverage option your choose, you will receive 25% of your sum assured instantly and your premiums are waived off for the next three years of till the end of your policy term (whichever is earlier).
If your cancer is diagnosed at a major stage: Under the lump sum pay-out option you will receive your entire sum assured at one go. Under the income protection plan you will receive your entire sum assured as well as 2% of the sum assured per month for a period of 60 months.
If your cancer is diagnosed at a minor stage and progresses to major: Under the lump sum payout option when the minor stage diagnosis comes you will receive 25% of your sum assured instantly and your premiums are waived off for the next three years of till the end of your policy term (whichever is earlier). After the major stage diagnosis, you will receive remaining 75% of the sum assured. However, under the income protection health insurance plan, you will initially receive 25% of your sum assured instantly and your premiums are waived off for the next three years of till the end of your policy term (whichever is earlier). After the major diagnosis you will receive the remaining 75% of the sum assured as well as 2% of the sum assured per month for a period of 60 months.
Surrender Value: There is no surrender value applicable under the regular pay option. The policy will only have a surrender value after the payment of a premium. After this the policyholder can terminate the policy at any time by surrendering the health insurance policy for the surrender value.
30 day grace period: If you miss your premium payment under the annual payment plan, you get a grace period of 30 days where you will continue to be insured and entitled to receive health benefits. The grace period is 15 days for monthly premium payment plans. If a valid claim arises under the policy during the grace period, but before the payment of due premium, the claim will be honoured.
Free look period: You have the option of returning the policy to the company within 15 days of purchase in case you disagree with any terms or conditions.