Health Insurance plans are
essential to an individual life no matter what. This individual health
insurance plan is not covered under any employer-employee benefit programs.
However, youngsters are becoming aware of how these insurance plans can benefit
them in the long run.
Before we move ahead and discuss
how we can identify the better health insurance plans, let’s discuss why you
need them in the first place. Planning to maintain health insurance is a
crucial step toward future planning.
Why should you have
your Health Insurance Plan?
Medical bills are facing
real-time inflation just like any other goods or service. You will not be young
and spotless all your life. Everything that you do will have its reaction. With
a rise in age, your medical bills are bound to increase substantially.
Having access to the best health insurance is not a luxury
but a necessity. Just because you are young and agile today doesn’t mean that
accidents ask and come into your life. Just think about your family before you decide
not to have health insurance. If something happens to you, where will your
family bring the money for your medical bills?
Health insurance plans have
multiple benefits attached to them. These benefits usually include cashless
hospitalizations and other add-on features. Corporate coverage of your health
has benefits, however, they are never enough.
Not all companies provide for
health insurance coverage either. According to experts, only 44% of Indian
companies provide for health insurance coverage. Moreover, these covers are
always subject to reductions.
What kind of health
insurance coverage do you need?
There are primarily two kinds of
health insurance coverage. The first one is indemnity plans and the other one
is ‘defined-benefit plan. Under the indemnity plans, you will be indemnified
for the amount of expense you had to endure during a medical emergency.
However, with the defined-benefit plans, you will receive a particular amount
no matter how much you eventually spend on your medical condition.
Indemnity plans usually form a
crucial part of the health insurance portfolios of an individual. LKP
Securities is one such friend and guide who can help you understand which family health insurance plans you need
As soon as you decide to have
your health insurance coverage you will face the dilemma of whether to cover
yourself or your family as well. According to experts, people should invest in
individual insurance plans to get extensive coverage. Moreover, investing in
health insurance individually will not let the perils of one bad experience
affect other family members.
LKP Securities can help you find
the best individual health insurance
plans that are suitable for you. You need to understand that individual
health insurance plans are bought in the name of particular individuals.
Moreover, premium amounts depend on the sum insured and an individual’s age.
How much coverage do
Figuring out how much coverage
you will need is a difficult proposition. That is why LKP’s team of consultants
provides some of the best original researches based on you. There can be no
straight-jacket formula for determining the amount of coverage. For this one
needs to understand so many factors about you.
LKP takes into account factors
from your personal life, job stress, working process, and much more to assess
how much would be an ideal coverage. The amount of coverage always depends on
Experts in LKP suggests that city
dwellers usually end up spending more on medical needs. That is why a minimum
coverage of 10 lakh rupees would be ideal for people living in modern
metropolitan cities. People living in A-tier cities get expensive healthcare
and the cost of living is substantially higher, too.
What is a sub-limit in
a health insurance plan?
Sub-limits are upper-cap limits
of individual cost reimbursement heads. When someone is hospitalized their
expenses have various sub-headings. From the kind of bed, one chooses to be on
to the rooms every expense is sub-divided.
Sub-limits put an upper cap on
such expenditures and the insurance company reimburses only a portion of such
expenses. So let’s say your sub-limit upper cap for a hospital bed is Rs.1000
per night. When you are hospitalized you do not get any bed under or within
Rs.1000. Instead, you get a standard bed for which the hospital is charging Rs.
5000 per night. The insurance company will reimburse your Rs.1000 multiplied by
the number of days you stayed in the hospital.
Before choosing an individual
health insurance plan, make sure that you read such clauses, and understand
their implications. Moreover, you can always choose to customize your upper cap
limits under individual heads according to your needs.
Does your insurance
policy cover pre-existing ailments?
Almost all health insurance plans cover pre-existing
ailments provided you are suffering the ailment for over 48 months. Although,
some insurance companies cover ailments with a historic background of 36 months
Moreover, be very careful when you try to get your health
insurance plan. You should disclose all such pre-existing ailments to the
company beforehand. If you don’t do that then your claim settlement process
will not only get delayed but may have severe adverse effects.
Also, check for the list of predefined specific ailments
that are covered under the ‘waiting period of 12 to 24 months before they
become eligible for claims.
Which insurance plan should you go
This can be best answered by you and your circumstances. If
you are looking for health insurance
best plan for family or yourself make sure to get advice from someone
neutral. LKP is one such friend who will guide you with such difficulties and
There are way too many clauses and tiny words in the
insurance plans for you to go through one by one. Moreover, LKP will also read
you the benefits of any single plan so that you can pace yourself. LKP will
understand what you need and suggest health insurance plans according to your