Health Insurance: Benefits, Types of Health Insurance

What is Health insurance?

In the event that we are involved in an accident or become ill, health insurance will cover the costs associated with caring for ourselves financially. Because health insurance is your pocket friend and helps pay off all of your bills at the hospital, every hospital and doctor will question you about it first. This is because health insurance is something that every hospital and doctor will ask you.

In the event that you require hospitalisation, this insurance will pay for all of the associated costs, such as the cost of the bed, the fee for the doctor’s consultant, and the whole cost of the prescriptions. If you don’t want life to throw you any unexpected curveballs and you want to be ready for whatever bills may come your way, purchasing this insurance is going to become very crucial for you and the members of your family.    

 How Life Insurance works?

When you have an accident or get sick, you go to the hospital, and when it comes time to pay your medical bills, the insurance companies have already made deals with hospitals, as well as with all of the health care providers and health clinics, so that if you have health insurance, you can take advantage of the facility of cashless transaction at the hospital, which will allow you to avoid any hassle that may be caused by the transaction. There is no valid excuse for not purchasing health insurance for oneself and one’s family given that such insurance is exempt from taxation.

Types of health Insurances

There are such types of health insurance plans:

1. Individual health Insurance:

• The Individual health insurance plan have to offer you coverage on an individual basis. Under this type of insurance plan, you are eligible to receive the unplanned hospital bills. You can make the claim for the insurance. For example: if you have bought an individual health insurance policy of Rs.5 lakhs you can claim the insured amount of Rs.5 lakhs.

Features of Individual Health Insurance Policy

• It covers the insurance for the single person.
• It covers all the medical expenses occur due to accident/illness, surgeries, treatment, room charges etc.
• People of the age between 18 to 65 years old are eligible for this insurance.

2. Family floater health Insurance:

This kind of plan takes care of everyone in the family’s insurance needs. Every member of the family can be covered by a single health insurance plan. Each payee under the plan contributes the same amount toward the insurance premium. If we assume that each member is purchasing their own insurance, the premium is significantly less expensive than it would be for an individual health insurance policy.

For instance, if you have subscribed to a family floater health insurance policy that covers your two children, your spouse, and yourself, the insurance covers up to Rs.20 lakhs. If for some reason you end up in the hospital and need surgery that will set you back ten million rupees, your insurance policy will pay for all of the associated costs in accordance with the terms and conditions of the policy, and the remaining ten million rupees in your savings will be used to cover potential future medical expenses for other members of your family.

Features of family floater health Insurance:-

• Your entire family will be covered under one single insurance plan.
• The amount of the insurance will be divided into all payee
• It gives financial support against hospital rent, treatment or any kind of medical bills.

3. Senior citizen health Insurance plan:

• All senior citizens aged 65 or older are eligible for coverage under the senior citizen health insurance policy. Coverage is provided to elderly citizens. If you are looking for health insurance for your parents or grandparents, you will need to check into senior citizen health insurance. The price for this type of insurance is more expensive than the premiums for other types of insurance.

Features of senior citizen health Insurance plan:-

• It will be best for senior citizen for above 65 years old.
• Its coverage all the hospitalisation expenses for illness/accident, medical treatment.
• The premium can go higher in such insurance plans because elders have higher chances to face the medical issues.

4. Critical Illness Insurance Plan:

The critical illness provide financial help if you diagnosed with critical illness. This type of health insurance gives coverage on every critical condition like heart attack, kidney problem, paralysis, cancer, etc. If you made the claim against the policy you will be paid one-time lump-sum payment.

Features of Critical Illness Health Insurance Plan

• It gives one time lump-sum payment if you suffer with some serious illness.
• This policy can be renewed anytime
• You have to survive at least 30 days after the diagnosis of serious illness.
• With some plans you can also get the annual health check-up facility.
• The policy will end up once you get your one-time lump-sum payment of your insurance.

Benefits of health Insurance

It is impossible for everyone to go through life without getting sick at some point. When it comes to living a healthy life, age is one of the factors that are considered. However, given the current global pandemic, medical issues can crop up at any time. As a result, providing financial support to yourself and your loved ones has become increasingly important.

If you have health care plans, you can relax knowing that you will receive the best treatment possible for your illness without having to worry about the cost of the hospital bill. However, it provides additional advantages, including as cashless hospitalisation and coverage for the treatment of covid-19 conditions.

Conclusion

Because unfortunate events never come with a knock, everyone should have health insurance to cover all of the hospital bills in the event of an emergency. Choosing the best health insurance for your family and loved ones will save you from financial problems and get you the best treatment with the cashless facility. Additionally, these insurances are tax free, so there is no need to worry about the deductions.

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