Health insurance has become one such tool for annuity investment that has made its way into the hearts and minds of Indians. Those who had taken health insurance came to know its importance during the Corona epidemic and they benefited a lot. Also came to know about its usefulness.
Whereas those people who had not taken any health insurance came to know how important it is to have such a health insurance in times of difficulty, which not only protects the insured from medical expenses but also protects them from sudden emergencies in the future. Also protects from financial risks.
Health insurance helps in emergency
Now people have realized that by paying a nominal premium in a health insurance policy, they can save themselves from liabilities running into lakhs of rupees. This is the reason why insurance companies have recently seen an increase in inquiries related to their health insurance. All the insurance companies are always trying to woo the customers in various ways by bringing new and better products in their coverage.
Unclaimed Bonus Benefits
Health insurance is usually an annual policy. If a policy holder does not make a claim, insurance companies offer a reward at the time of renewal by increasing the policy coverage limit by a certain percentage called cumulative bonus. Earlier this bonus used to be 10% to 15% in every policy year, but considering the medical inflation these days insurance companies are offering much higher percentages.
Understand it by Example
Let us understand this with an example. Suppose an insurance holder has opted for a coverage limit of 5 lakhs for his health insurance policy at a young age. He didn’t make any claims in the first year. This earned him a Super Cumulative Bonus of 50% on the Base Amount. Thus his coverage increased to Rs 7.5 lakh. Similarly, the policyholder did not make any claim in the second year as well. Again got 50% super cumulative bonus on the basic coverage limit.
Thus it increased to Rs 10 lakh. This sum assured is double of what he had chosen at the time of buying the policy.
Recharge Benefit Benefits
This is a benefit that will help someone if they have exhausted the coverage limit of their health insurance policy in case of a claim. For example, one had opted for a sum assured of Rs 5 lakh at the time of purchasing the policy. After this, he had to bear the expenses of health emergency.
Suppose the bill issued by the hospital exceeds the sum insured. Here, since his policy offered recharge benefit, this benefit passed on to the policyholder. This profit is given as a percentage. This facility will be availed when the hospitalization expenses exceed the coverage limit chosen by him. Thus the insured can claim up to Rs 6 lakh instead of Rs 5 lakh and the insurance company also gives him the benefit.
Sum Insured Reinstatement Benefit
It is like opting for a backup insurance within the existing insurance plan. This benefit comes at an additional cost, but proves to be extremely useful if one exhausts all their option coverage amounts. For example, suppose someone has taken a coverage of 5 lakhs and has exhausted his policy limit in treatment due to an accident. Then at the end of the year he gets hospitalized for dengue. Since he has exhausted his limit, he will have to bear further medical expenses from his own pocket.
Here this advantage of Restatement Benefit is that if it has already been opted for at the time of policy, then it proves to be very useful on such an occasion. Even if the full sum insured limit of a policy is exhausted, the policy coverage can be reinstated back to 5 lakhs.
Infinite Sum Insured
Sum insured is a limit of health insurance coverage that one chooses in his health insurance policy. Like if someone has taken an insured sum of 5 lakhs for a health insurance policy. For this, first of all, the coverage limit has to be selected according to the room rent options every day, which can range from Rs 3,000 to Rs 50,000. If one has chosen Rs 10,000 as room rent per day then the coverage will be 100 times i.e. up to Rs 10 lakh.
However, the coverage and claim amount in this policy does not end here. If the claim amount of an insured person exceeds the limit of 100 times, then he only has to share a fixed percentage of the remaining claim amount with his insurance company.
Wellness Benefit
Nowadays insurance companies keep rewarding their customers in various ways. Such as vouchers for outpatient treatment, pharmaceuticals, health checkups, diagnosis, health supplements at discounted rates and membership in fitness centers or sports clubs, etc. For example, if someone has opted for this facility in their health insurance policy, they will be offered a discount at the time of renewal as per the policy norms. This added feature to one’s health insurance policy will not only encourage the customer to live a healthy lifestyle, but will also help them earn reward points by following the prescribed wellness regimens.
- Those who had taken health insurance came to know its importance during the corona epidemic and they benefited a lot.
- Those people who had not taken any health insurance, they came to know how important it is to have such health insurance in times of difficulty.
