Health Insurance

# Little Savings

Yesterday, I called casually to my friend, where the chit chat lasted for more than 2 hours. I came to know, he is working in an insurance domain. I want to share his inputs on Insurance for you.

Which Insurance Company, I need to choose?

All insurance companies will liaise with the rules of IRDA(Insurance Regulatory and Development of Authority). All most all the insurance companies are good. But check for the company financial status or ratings should consider.

How much policy should I take?

For a family of four members, it is better to take a minimum of 10 lakhs. If you are not able to bear the premium, there are 3 lakhs health insurance policies.

Why Insurance policies disliked in India?

• Due to the sentiments in Hindu community.
• People feel they are cheated due to the communication gap while taking the policy. This may be due to the salesperson not disclosed all the conditions of the policy.
• And in some other communities, the money should be purely generated.

How does transparency work between an insurer and an insuree?

A salesperson is the core of the business. A good salesperson should be helpful to the customers in benefitting them. In the same way, a customer should also disclose all the ailments or existing illness.

How best, the policies provided by the Corporate Companies?

It is one of the best-recommended policies for anyone. For the welfare of the employees, the IT companies provide the policy for the whole family. There are no waiting periods, no deductible amounts from the Salary and it is completely free. It is good if your company offering for you.

What is the disadvantage of Corporate policies?

The policies provided by the companies are valid until you are an employee of the company. In any circumstances, if you are out of the company, the benefits will not be provided. 

So, how to overcome this?

It is better to have another individual/group health insurance policy for everyone. Based on the premium, you can pay, at least opt for a minimum health insurance policy.

What are the recent pitfalls of health insurance?

In the pandemic situation, a COVID insurance plan becomes famous. So, many people are asking for a quote for this COVID plan. But in the first place, one should have health insurance. Pandemic situations will come and go.

Another thing, about the Top-up/booster plans. Till the corporate policies valid for individuals, the top-ups or booster plans are useful, but once you come out of the company, booster plans will not be valid. Don't go for the booster, since the premium is low.

For all the individual policies, there is a waiting period from 2-4 years.

How booster or top-up policies will work?

Suppose, if you have a base policy of Insurance of 5 lakhs. One can very opt for a top-up with the existing insurer or the other company. Lets you take a top-up of the policy of another 10 lakhs with a deductible amount of 5 lakhs(since this is covered in the base policy).

If the hospital bill is 5 lakhs, you are covered under the base policy.

If the hospital bill is 10 lakhs, 5 lakhs from base policy + 5 lakhs covered from Top-up.

If the hospital bill is 15 lakhs, 5 lakhs from base policy + 10 lakhs from the Top-up policy.

In all the above cases, note that the deductible amount is 5 lakhs. 

If you opt for the 10 lakhs as a deductible amount since the premium is low, and the hospitalization bill is 7 lakhs. You can cover only 5 lakhs from the base policy. The top-up policy will bear only starting from 10 lakhs.

What is your final suggestion on Health Insurance?

When I speak with the different agents/customers, some people are pretty sure about their criteria. It is the best approach, then filter the policies which meets your need. Reach your nearest agent to get the complete details. 

Don't worry, even if the agent not disclosed all the details. There is another confirmation call from the customer care, will help to go through all the conditions again before opting for the plan.

For anyone who needs suggestions or need information on different policies, I can help you out.

Author:

Mallikarjun Neeli

Mobile Number - 99666 22239

Experienced in Insurance from the past 10 years.