Don’t Get Confused Between Health Insurance & Mediclaim

Ms. Roy asked her husband to purchase health insurance for entire family. She believes it an essential requirement to procure the entire family’s health insurance needs any time especially during unknown emergencies.

Last month, their son suddenly underwent a hospitalization treatment. The costs were really high. However, their comprehensive health insurance plan saved the family from huge financial expense as the policy itself covered the hospitalization treatment. This made Mr. Roy aware about the significance of health insurance policy.

Do you want to take any chance with your precious life? Life is something which when is all right gives you the most pleasurable moments to live and cherish. And for that it’s important that your health remains in good shape. And if anything happens, money should not be the reason to prevent necessary treatments.

One must remember that it’s ultimately about his health. Health is wealth. Rising expenses in medical sectors can impede one from availing the required treatment & medical needs during any emergency event.

Comprehensive Mediclaim insurance is the one which will ensure maximum financial coverage for the family.
The Benefits of getting a health insurance policy are-

  • You get timely help and arrangement of funds during emergencies providing great financial assistance
  • It prevents your savings cycle
  • It provides great financial assistance for critical illnesses like cancer & stroke. During critical illnesses like cancer & stroke, one gets financial assistance for his/her treatment. He/she also gets financial assistance for other medical costs as well as his/her miscellaneous needs
  • There’s another great benefit of getting a health insurance policy. It’s related to tax savings. A person is eligible for tax savings as per section 80D of Income Tax Act.

Now let’s see the differences between a health insurance policy & a Mediclaim policy. They are-
Firstly, the Mediclaim insurance forms a type of a health insurance plan.

Usually, insurance companies offer 2 types of insurance options. They are indemnity products & benefit products offered by companies.

In terms of indemnity products, actual treatment cost is borne by insurance provider. It goes up to sum assured.

The policy holder is required to provide all current medical bills & other vital documents in order to get the claim.

For instance, a person is liable to get a sum assured of amount of Rs 3lacs as per his policy. His cost of treatment is Rs1 lakh. The insurance company will pay only Rs 1 lakh which is actual price of treatment.

In terms of benefit products, health insurance firms give lump sum amounts to insured people. This can also go up to sum assured value.

A critical illness policy forms one type of a benefit product. For instance, an insured is found to be diagnosed with cancer. The sum assured amounts to Rs 50 lakhs. The insurance company will pay total amount of Rs 50 lakhs in lump sum to the insured. Submission of bills isn’t required. Once the amount’s settled, policy terminates.
Purchasing the right health plan
Hence, now you would be aware of various aspect of health insurance after reading this article. This will help you in selecting the right health insurance plan. Select a comprehensive health insurance plan for you and your entire family.