The Importance Of Health Insurance

What is Health Insurance?

A health insurance company may agree to pay a certain amount of medical expenses if the insured becomes ill or is injured in an accident that results in hospitalization. Insurance companies usually have tie-ups to major hospitals to offer cashless treatment.

If the insurance company does not have a tie-up with the hospital they will reimburse the insured for any expenses. Health insurance is also promoted by the government through a deduction from income tax.

The importance of health insurance

It is crucial to have health insurance for your family and yourself. Private sector medical care can be very expensive. Hospitalization can cause financial problems and burn holes in your wallet. If the person who brought the money is currently in a hospital bed, it will make things even more difficult.

You can avoid all this by paying a small annual fee, which will reduce your stress in the event of an emergency. A good policy of health insurance would typically cover costs for doctor consultations, medical tests, ambulance costs, hospitalization costs, and even recovery costs after hospitalization.

The benefits of a Health Insurance Policy

Health Insurance

 1. Cashless Treatment: You can receive cashless treatment if you have insurance. Your insurance company will work with different hospital networks.

2. Pre- and post-hospitalization coverage: The insurance policy covers pre- and posthospitalization costs up to a period of 60 days depending on which insurance plan you have.

 3. Transport Charges: Your insurance policy will also cover the cost of transporting the insured.

4. No Claim Bonus (NCB), is the bonus that is paid to an insured if he or she does not file any claim for treatment in the past year.

5. Medical Checkup: Some insurance policies offer health checks. Some insurers offer a free health checkup based on your NCB history.

6. Tax Benefit: Premiums paid for Health Insurance are tax-deductible under section 80D, Income Tax Act.

How to Choose the Best Insurance Policy?

Because every insurance company offers the same type of plan, it can be difficult to choose the best insurance policy. 1. Sum Assured 2. Sum Assured 2. Maximum Room Rent Limit 4. Exclusions and Inclusions No Claim Bonus.

India does not require that people below 45 years old undergo a mandatory medical checkup to obtain a policy for health insurance. However, they must disclose any pre-existing conditions like hypertension or diabetes. Therefore, it is recommended that you get health insurance as soon as possible to lower your premium.

You will need to submit the following documents:

  • You will need to provide proof of age such as a Birth Certificate, 10th, 12th, Driving License, Passport, or Voter ID.
  • Identity proof: Driving License, Passport, or Voter ID.
  • Address proof – Telephone Bill, Electricity Bill, Ration Card, and Driving License should clearly indicate the permanent address.

Types of health insurance:-

1. Individual Health Insurance

This policy covers hospitalization and health expenses for the person who has purchased the policy. The insured’s age determines the premium.

2. Family Health Insurance Plan

This policy covers all family members for multiple diseases. The family health plan provides a fixed amount of coverage for all family members. This can be used by each member of the family or just one person.

3. Senior Citizen Insurance Plan

This policy provides protection against health problems during old age and is intended for seniors.

4. Plan for Surgery and Critical Illness

This plan is designed to cover those who require treatment for critical illnesses such as heart attack, kidney failure, paralysis, or cancer. These types of treatments have very high medical costs, so the premiums for these policies are also high.

5. Maternity Health Insurance Plan

This policy covers pre and postnatal care as well as child delivery costs for newborn babies. The policy covers the newborn for a specified period, as stated in the plan. Ambulance expenses are also covered.

6. Personal Accident Plan

This policy pays for hospitalization costs in the event that an accident occurs. The amount of coverage purchased will determine the premium amount.

7. Unit Linked Health Plan

This plan offers a unique combination of insurance and savings. This policy allows you to build a fund that can be used for those expenses not covered by your insurance policy.

Some of India’s Health Insurance Policies

  • Max Bupa
  • HDFC Ergo
  • Bharti Axa
  • SBI
  • L&T
  • Bajaj Allianz
  • Apollo Munich
  • National

As a Section 80D tax-saving deduction, the amount you pay towards your health insurance premium. For a personal health insurance policy, you can claim Rs 25,000 per year. You can also claim Rs 30,000 if you pay the premium for a policy to cover your parents’ health.

If you don’t have a way to live your life, earning money is useless. Consider your family and how important it is to live a full life. You are well aware of the benefits and importance of a Health Insurance Policy. If you don’t have one yet, it is time to get one.

You can get the best healthcare without worrying about the high costs of discharging. A health insurance policy will allow you to do this. The claim process is something that every insured person should know about. There are two types of insurance claims that an individual can make when filing a claim:

Cashless Claim Process

Once the insured person has provided their details about their health insurance to the hospital, they can begin to receive treatment. The hospital will send the medical bills to the appropriate insurance company upon discharge. The company will review the bills and make payments to the hospital. The insured will find this process easy as both the hospital and the insurance company are responsible for paying the bills.

Process for Reimbursement Claim

The reimbursement process requires that the insured person who was admitted to a hospital pays all costs until discharge. After the insurance company has covered the hospitalization and treatment costs, the insured individual must file a reimbursement claim with the specific insurance company. To claim reimbursement, the insured person will need to submit original hospital bills to their health insurance.

The insurance company will review the claim and decide whether to approve it or not. The insurance company will approve the claim and notify the policyholder. In the event that the claim is denied, the insurance company will inform the insured.

Read More

What Is Homeowners Insurance And What Does It Cover?

One Comment on “The Importance Of Health Insurance”

Leave a Reply

Your email address will not be published.