Now-a-days health Insurance is a necessity. The cost of medical treatment is increasing rapidly, at more than 20% each year. This is more than twice the rate of normal inflation. Health insurance provides a low cost and reliable way of meeting unpredictable medical care expenses.
It is best to buy health insurance early and when you are in good health . At younger ages health insurance premiums are lower. Also, insurance purchased when you are in good health has fewer exclusions and, in general, provides more effective coverage. If you have had a disease in recent times then most health insurance policies typically exclude that disease and its related side-effects for a period of two to four years.
Insurers offer different types of health insurance schemes. This gets confusing because there are material price and feature differences across products. We provide you with several options to help you pick the product you want, in a straightforward and transparent way. Our recommendations are unbiased.
There are three types of health insurances available in the market today. These are:
These policies cover you for hospitalization expenses. Actual hospitalization expenses are paid subject to a maximum limit of the sum assured opted for. All insurers offer policyholders cashless treatment in their network of hospitals. Policyholders can also pay their bills and claim reimbursement from the insurer later.
We recommend Mediclaim as a “must-have” health insurance. Mediclaim can be individual or a family floater. In individual every person has his or her own individual policy. In a family floater the members of a family pay a single premium and have one insurance policy that covers the family. Sometimes parents and in-laws can also be included in the family cover.
Mediclaim rates can vary considerably by age of family members, their health condition and benefits selected. Some products are cheap but come with sub-limits and restrictions that make the insurance ineffective; sometimes individual insurance works out cheaper than family floater policies; if you suffer from diabetes then certain insurers are more likely to provide you insurance. Contact us to determine which products are best for you.
Fixed Benefit Cover
These plans pay a pre-determined sum of money depending upon the number of days a person is in hospital and the type of ailment detected. This amount may be more or less than the actual expenses you incur. We recommend this as an additional insurance to purchase after you have the basic mediclaim policy. Similar to the indemnity cover, fixed benefit cover has individual and family floater options. Fixed benefit policies will pay you the benefit even if the actual costs are reimbursed by a mediclaim policy.
Critical Illness plans
In these plans a fixed sum of money is paid if the person gets certain pre-specified diseases. Plans can cover anywhere from 9 to 35 diseases. In our view these plans are best bought after one has the basic medicliam and fixed benefit plans. They are ideal for diseases that are debilitating but may not require constant hospitalization – for example cancer or renal failure.