Benefits of Health Insurance

11 Major Health Insurance Benefits in India

Take a look at some of the top benefits of investing in a health insurance plan:

1. Coverage for Medical Expenses

   The biggest advantage of health insurance is that it helps cover the costs of your medical treatments, whether planned or unexpected, up to the insured limit. This includes expenses related to illnesses, injuries, or accidents. In fact, health insurance does not only cover hospitalization costs; it also covers pre & post-hospitalization expenses as well.

2. Access to Quality Healthcare

   Healthcare costs are skyrocketing, with even minor surgeries costing lakhs of rupees in reputed hospitals. Due to such high costs, many people compromise on their treatment to save money. However, with mediclaim insurance, you can access quality healthcare services at top hospitals without the stress of managing medical bills. This ensures that you or your family members receive the best treatment possible, irrespective of financial constraints.

3. Fights Medical Inflation

   Due to inflation, medicare costs are increasing every year. Treatments, medications, and hospital stays are becoming expensive, often leaving individuals struggling to manage their finances. Health insurance protects you from this financial burden by covering these rising costs. By paying a relatively small premium, you can secure yourself against rising healthcare expenses.

4. Support for Lifestyle Diseases

   Modern lifestyles have led to an increase in lifestyle diseases such as diabetes, hypertension, heart problems, etc. These illnesses often require long-term care, which can be financially draining. Health insurance plans, such as health insurance for cancer, health insurance for diabetes, etc., provide coverage for lifestyle diseases, ensuring you have access to the best treatments without worrying about the costs.

5. Wide Coverage

   Health insurance provides comprehensive coverage by going beyond just hospitalization expenses. It also covers a wide range of other healthcare costs, including daycare procedures expenses, domiciliary hospitalization costs, maternity expenses, AYUSH treatments, OPD costs, etc. This broad coverage ensures that all your medical needs are taken care of.

6. Pre-existing Diseases (PED) Coverage

   Treatment for pre-existing diseases often involves recurring expenses, leading to significant financial strain. Medical insurance offers coverage for these conditions after a waiting period of up to 3 years. Some plans even provide coverage for PEDs from Day 1, allowing you to access necessary treatments without delay.

7. Access to Advanced Treatments

   Medical advancements have introduced modern treatments like robotic surgeries, immunotherapy, and stem cell therapy. While these treatments are effective, they are often expensive. Health insurance plans now include coverage for such advanced procedures, making them accessible to more people.

8. Annual Health Check-up

   Regular health check-ups are essential for early detection and prevention of illnesses. Many health insurance policies include free yearly check-ups, covering tests like blood work, physical exams, and diagnostic screenings. These check-ups can help identify potential health issues early, allowing for timely treatment and reducing long-term healthcare costs.

9. Peace of Mind During Emergencies

   Mediclaim insurance provides you with peace of mind by covering substantial hospital expenses. Whether it is an accident, surgery, or a sudden illness, your insurer will handle the hospital bills, allowing you to focus on recovery.

10. Incentive for Maintaining a Healthy Lifestyle

    Many health insurance companies in India offer wellness benefits as incentives for maintaining a healthy lifestyle. These benefits may include discounts on renewal premiums, rewards for achieving fitness goals, or additional services like free health check-ups. Such initiatives encourage policyholders to adopt a healthy lifestyle.

11. Tax Benefit

    Health insurance premiums are eligible for tax deductions under Section 80D of the Income Tax Act, 1961. You can claim tax deductions up to ₹25,000 if you are under 60 years of age. For senior citizens, this limit increases to ₹50,000. This dual benefit of financial protection and tax savings makes health insurance an essential component of financial planning.

How to Choose the Best Health Insurance Plan?

Following are the critical factors that can help you opt for the best health insurance plan:

1. Coverage Requirement

   Start by assessing your medical needs and those of your family. Consider whether you need critical illness cover, maternity care, or other specific treatments. Choose a health plan that meets these requirements without including unnecessary features that could increase the health insurance premium.

2. Claim Settlement Ratio

   The Claim Settlement Ratio (CSR) indicates how efficiently an insurer settles claims. A higher CSR means the company is more likely to settle claims quickly and reliably, giving you confidence that your expenses will be covered during emergencies. So, always opt for a health insurance company that bears high CSR.

3. Compare Multiple Plans

   With plenty of options in the market, it is essential to explore and compare various medical insurance plans before making a decision. Compare their premiums, coverage limits, inclusions, exclusions, and additional benefits and then pick a plan that fits your budget and provides adequate protection.

4. Check Sub-Limits

   Some health insurance policies have sub-limits, which are caps on specific expenses like room rent, ambulance charges, or treatment costs for certain illnesses. Make sure you review these limits carefully to ensure they align with your potential medical expenses so you do not face unexpected costs later.

5. Pre-Existing Disease (PED) Coverage

   If you have any PED, check whether the health insurance plan covers it. Many mediclaim policies have a waiting period of 2 to 3 years before covering pre-existing diseases. So, ensure you choose a plan that offers shorter waiting periods or provides coverage for these conditions as soon as possible.

6. Check the Co-Payment Clause

   Co-payment in health insurance requires you to pay a fixed percentage of your medical expenses out of pocket, while the insurer covers the remaining amount. It is important to review this clause carefully to ensure it aligns with your financial capacity. Always try to opt for a plan without a co-payment clause so that you do not have to pay the portion of your medical expenses out-of-pocket.

   Discover more on this topic: What is Copay in Health Insurance

How to Buy Health Insurance Online?

If you wish to buy a health insurance policy online, you can purchase it easily from Policybazaar.com. The steps are as follows:

Step 1: Go to Policybazaar.com.

Step 2: Select your gender and choose the family members you want to insure, along with their respective ages.

Step 3: Proceed by entering your city, name and mobile number.

Step 4: Opt if you or any of your family members are suffering from any illness.

Step 5: Select “Yes” or “No" depending upon whether your employer provides mediclaim insurance. If yes, select the sum insured amount.

Step 6: Compare and choose the suitable health insurance plan from the list of options. You can also select the "Get Free Advice" option if you are confused and want any help or suggestions.

Step 7: After choosing the plan, make the health insurance premium payment online.

Step 8: Once the payment is successful, you will receive your health policy on your registered email ID.