Health Insurance

What is Health Insurance?

Health insurance provides coverage for medical expenses arising from an accident, illness, or injury. A person can avail of a health insurance policy by paying a monthly or annual premium for a specific tenure. During this tenure, if the insured meets with an accident or is diagnosed with an ailment, all or most of the medical expenditure will be paid by the insurance provider.

Why do you need Health Insurance?

Securing Financial future:

A Health Insurance policy provides financial support in times of need. It takes care of treatment costs in sudden medical emergencies, so you do not have to exhaust all your savings. Having a policy will assure you of a stable financial life where medical bills will not dent your finances.

Lifestyle diseases:

A hectic work life, poor eating habits, lack of physical activity, indulgences in smoking, and drinking are all affecting the overall health of an individual. Many lifestyle diseases are on the rise, involving substantial treatment costs. Health insurance will keep you and your family protected from such burdens.

High medical costs:

Medical treatment costs are increasing fast in India. Inflation in medical care is also rising. A health insurance plan ensures that you get top-quality healthcare facilities that would otherwise be expensive.

What are the advantages of Health Insurance?

Protection in critical illness:

Critical illnesses like cancer and kidney failure can strike anyone irrespective of age, gender, or status. Huge expenses are involved in the treatment of such life- threatening diseases. To safeguard the finances against the high treatment cost involved, insurance companies protect against critical illness either as a rider or as a separate plan.

Cashless hospitalization:

Besides providing high coverage at affordable premiums, insurance companies also offer cashless facilities. If the treatment is done in any network hospital, you do not need to pay anything at the hospital. The expenses are directly settled between the network hospital and the insurer.

Tax Benefits:

Premium paid towards Health Insurance can be claimed as a tax deduction under Section 80D of Income Tax Act, 1961.

Free health check-up:

As a policyholder, you will be eligible for free medical check-ups so that you can monitor your fitness regularly and seek timely assistance.

What are the types of Health Insurance?

There are two types of health insurance plans.

Indemnity plans cover the actual medical expenses up to the sum assured, either on a cashless or reimbursement basis. Indemnity plans include

1. Individual Health Insurance Plan

2. Family Health Insurance Plan

3. Senior Citizen Health Insurance Plan

4. Mediclaim Plan

5. Unit Linked Health Insurance Plan

Definite benefit plan:

Under this plan, a lump sum payment is received to detect illness. If you cannot work due to illness, then the amount can be used as a substitute for your monthly income. It can even cover expenses for arise. These include

1. Critical Illness Plan

2. Personal Accident Plan

3. Hospitalisation Cash Benefit Plan