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Tuesday, May 21, 2024

A 5 Minute guide to health insurance for beginner

If you are among those who have heard on what health insurance is but have no idea of different plans available in this category and do not know how to buy the perfect plan, this 5-minute guide is likely to clear all your doubts.

Health Insurance Statistics

The National Family Health Survey in India has come up with surprising facts. The findings show that less than 29% of the households have one member of the family covered in any health insurance scheme. The survey which was conducted by the Ministry of Health and Family Welfare, Govt. of India has also found out that more than 55% of the households in India do not seek health care from the public sector.

The findings of the survey also state that only 20% of the women from the age group of 15-49 and 23% of men from the 15-49 age group are covered under any kind of health-related insurance plans.

Why should the plans be bought?

Medical treatment is a costly affair and you will perhaps realize the gravity of the problem only when any medical eventuality arises. People do not opt for health insurance due to different reasons. At times, people are covered in different reimbursement policies but that would be applicable only until the time, a person is on the job. On other occasions, some people do not feel the need of getting dedicated health-related insurance done as they have the misconception that life insurance also covers health-related expenses. Thus to tide over any impending medical condition, medical insurance could be the difference between life and death.

When should the insurance plan be bought?

Sooner the plan is bought, better it would be for you. If the insurance plan is bought at a later age, the higher premium would be applicable which will put an additional burden on the insurer. You may develop a health condition at a later stage of life which could also result in the medical insurance policy to be rejected. Thus it is always advisable to begin earlier when it comes to securing your and family’s life from terminal illness-related issues.

Is it a better way to protect the family?

Health-related insurance should be purchased by every person as it protects you from the pitfalls of sudden illness expenses.  For people who are already covered under insurance by the company, additional top-up plans are available that would cover medical liabilities which are usually not covered in the company policy.

Best Health-related insurance plans

If you are looking for health related insurance plans, a number of options exist. Think judiciously before you buy a suitable plan to secure yourself and your family.

Name of the company

Name of Plan

Sum insured

Network Hospitals Connected

Religare Insurance

Care

3 Lakh-60 Lakh

4987

Max Bupa Insurance

Health Companion

3 Lakh- 1 Crore

4115

Star Insurance

Health Optima

1 Lakh-25 Lakh

8341

Apollo Munich Insurance

Optima Restore

3 Lakh-50 Lakh

4721

HDFC ERGO Insurance

Health Suraksha Plus-Silver

3 Lakh-10 Lakh

6402

Which Health Insurance Policy should be bought?

Before finalizing the health-related insurance policy, seek answers to the queries from the insurance providers. This will definitely help you shortlist the best plan of the available lot.

What the person seeks

What the person should get

Expenses coverage along with surgery related bills

Insurance that offers cashless facility along with claim reimbursement

Fixed cash amount on a daily basis that covers hospital expenses

Hospital Cash Plan

Lump sum payout so that family can meet the expenses since the earning member might be suffering from a life-threatening disease

Critical illness insurance plan

Fixed cash amount so that any financial trouble might be avoided in case of loss of income due to accident

Personal accident insurance

Medical coverage in case of cesarean or normal delivery

Maternity insurance

Insurance for family in a medical emergency

Family Health Plan

Senior Citizen health matters

Senior Citizen Health Insurance

Family Floaters or Individual Plans

Ideally, in the case of young families, floater health policies will be the best option. However, older people should opt for individual plans.

Family category

Recommended Plan

Cost Implications

Why it should be preferred

Newly Married

Family Floater

The insured amount is Rs 5 Lakh while the annual premium would be Rs 9,456

This plan should be preferred as medical emergency chances are low in young couples. Floater plans, in this case, are known to offer higher cover at a lower price.

Young Family

Family Floater

The insured amount is Rs 7 Lakh while the annual premium would be Rs 15,994

This plan should be preferred as medical emergency chances are low in a young family. Floater plans, in this case, are known to offer higher cover at a lower price.

Older Family

Family Floater

The insured amount is Rs 10 Lakh while the annual premium would be Rs 19,839

The eldest member of the family, in this case, would be 40 but the floater plan still is a cheaper option here as all the family members would be sharing the Rs 10 Lakh cover.

Grown Up Family

Family Floater for the couple and individual plan for the children

Floater- Rs 15 Lakh

Annual Premium –Rs 26,127

Individual plan would be of Rs 3 Lakh each and annual premium in this case would be Rs 6725

Separate plans for children would work out to be cheaper in this case.

Most of the companies offering insurance related plans to health offer these floater and individual plans and as a beginner in health related insurance segment, it would be worthy to consider these plans and secure your health and that of your family too.

Some FAQs

Which is the best medical insurance policy?

This depends upon the imminent need of the individual. In general terms, the plan that offers maximum insurance cover in exchange for affordable insurance premium can be considered as the best one.

What are the points that should be considered before buying the medical insurance policy?

The claim process should be done at a faster pace.
Waiting period for the claim should be minimal.
Family health insurance should be covered comprehensively.
The insurance amount should be decided judiciously, considering the medical emergencies that could occur.
Scan through the list of network hospitals that the insurance provider is connected to.
The insurance plan should cover maternity benefits too.
Pre and Post hospitalization should be covered comprehensively.

Medical insurance is not a luxury but a key necessity in today’s uncertain times. Get yourself insured and lead a peaceful and healthy life. After all, health is wealth!