Health Insurance Plans: What is it, its benefits, and 5 Plans

health insurance

Health Insurance Plans: What is it, its benefits, and 5 Plans

Have you ever heard of someone who was saved from an accidental injury because he/she had proper health insurance plans? Of course, it is important to have your life insured by a variety of insurance plans. In this article, we will discuss what is health insurance and the benefits of health insurance.

Furthermore, the best health insurance plans for families are also compared at the last. So, you can choose the best for you and your family.

What is Health Insurance?

Health insurance is a form of insurance that pays for medical costs incurred as a result of an illness. These charges might include hospitalization bills, pharmaceutical charges, or medical consultation fees.

Types of Health Insurance:

  1. Different types of Medical insurance:
  2. Mediclaim Insurance:

The most basic sort of health insurance plan is a Mediclaim or hospitalization plan. You get to admit and they pay for your care. By providing original invoices, the compensation is based on real expenditures incurred in the hospital. The majority of these policies provide coverage for the entire family up to a specific level.

  1. Insurance for Critical Illness:

There are Specific life-threatening conditions under critical illness insurance plans. These disorders may need long-term therapy or even a lifestyle change. Unlike hospitalization plans, the reimbursement is based on the Critical Illness cover selected by the consumer rather than actual hospital charges.

The policy allows you to spend the money to change your lifestyle or take other medications. It also serves as a source of income during the time you are unable to work due to illness. These policies payout based on the diagnosis of the ailment and do not require the original medical costs.

  1. Different Types of Health Insurance:
  2. Individual Health Insurance:

Individual health insurance, as the name implies, covers the treatment costs of a single person. This coverage is available for you, your parents, your spouse, and your children.

  1. Family Floater Health Insurance:

A single sum insured is offered for all persons under one insurance under such scheme. This full money can be dispensed for the treatment of a single individual, after which no further claims will be paid in the event of a medical emergency.

  1. Senior Citizen Health Insurance:

Only persons over the age of 60 can receive such plans, which are tailored to fit all medical costs of the elderly. Comprehensive coverage is provided for a variety of ailments that may arise as a result of advancing age.

  1. Health Insurance with Maternity Insurance:

Maternity insurance covers all prenatal and postnatal care costs incurred during pregnancy. Medical expenses for a newborn are also covered for the first three months. However, such insurance comes with a two-year waiting period.

There are many more different insurances that are offered to you.

What is the need for Health Insurance Plans?

Nobody expects to be sick or harmed, yet serious sickness can strike at any time. The cost of treating the condition might put a significant strain on whatever funds you’ve built up over time. This means you may have to choose between providing your child with the best education possible and defaulting on your mortgage payments. The cost of medication is increasing day by day.

For example, cancer is such a disease, for which medication fees and surgery cost is very high. Health insurance is a living benefit that pays out if you need money in an emergency. One ailment may wipe away all of your money for your children’s education, marriage, homeownership, and even retirement.

You don’t want your family’s goals to be crushed because of a sickness, especially when you might have financially safeguarded yourself.

When you are young and healthy, it is advantageous to have health insurance. Not only do your premiums rise as you become older, but you also risk being denied health coverage by the insurance provider.

Tips to choose a good and beneficial insurance plan:

Anyone who has purchased health insurance will tell you that it is one of the wisest financial decisions a person can make. You now need to know how to choose a suitable health insurance plan that will cover all of your demands now that you’ve decided to acquire health insurance coverage.

The following is a list of advantages that any decent health insurance plan should provide:

  • There is protection against a wide range of important ailments.
  • The ability to pick and select your health insurance
  • Even if your health condition changes throughout the insurance period, there will be no rise in rates.
  • Long-term coverage that keeps you covered even as you become older; large hospital network for quick access to medical care

Choose: “A Mediclaim plan” or “A critical illness insurance plan”:

A Mediclaim plan will either repay all of your hospitalization costs or pay your hospital bills through a cashless system. When you purchase a Critical Illness Insurance policy, you will get a lump-sum payment if you are diagnosed with a critical illness.

You do not need to be admitted to the hospital for the same.

If you are unable to work as a result of your sickness, you can use the money to supplement your monthly income. You can also use the funds to pay for doctor’s appointments, pharmaceutical purchases, medical tests, and any other expenditures that may occur during this period.

That’s why you’ll need both a Mediclaim plan to cover your hospitalization costs and a Critical Illness Insurance plan to cover your lost wages and other expenditures if you get sick.

Benefits of Health Insurance Plans:

Health is wealth, as the saying goes. Changing living patterns, rising pollution levels, and a slew of other issues all have a negative influence on one’s health. Also, this might result in a variety of health problems and illnesses.

  1. It covers your medical expenses:

The primary goal of medical insurance is to ensure that you obtain the finest medical treatment possible without putting your finances at risk. Health insurance policies provide coverage for unexpected medical expenses.

It includes, among other things, hospitalization costs, daycare procedures, domiciliary fees, and ambulance costs. As a result, instead of worrying about such huge charges, you may concentrate on your quick recovery.

  1. It covers your expenses of critical illness:

Critical illness insurance is currently available as a standalone plan or as a rider from most insurance companies. A policy like this protects you from life-threatening illnesses including renal failure, bone marrow transplant, stroke, and limb loss, among others.

You are eligible for a lump sum payment if you are diagnosed with any of the severe illnesses listed on your policy’s preset list. This money can be used to pay for medical treatment, everyday expenditures, and other financial responsibilities linked to your disease.

  1. You get a cash claim benefit:

Many insurance companies give a cashless claim option. You need not make any out-of-pocket payments under this agreement. Also, our insurance and the hospital will work out the costs of your stay in the hospital. However, to be eligible for this benefit, you must admit yourself to one of the insurer’s network hospitals.

To use the cashless facility, fill out a pre-authorization form and show your health insurance card.

  1. You get additional protection:

A group insurance plan is there in many companies to protect their employees. Such policies, on the other hand, are not according to the specific demands of each individual. Furthermore, you don’t know the situation in the event of a job loss or change. Purchase private health insurance to protect yourself in the case of such an occurrence.

  1. You get benefits on Tax:

Moreover, healthcare plans provide tax advantages. Section 80D of the Income Tax Act of 1961 allows you to deduct the premiums you pay for your health insurance. The following is the amount of deduction:

  • Individuals get up to INR. 25,000 for themselves and their families.
  • If an individual or spouse is 60 years old or older, a deduction of Rs 50,000 is available.
  • An extra deduction of INR. 25,000 if parents are under 60 years old and INR. 50,000 if parents are 60 years old. Even they allow more for insurance of parents (father or mother or both, whether dependent or not).
  • Medical expenses are up to Rs 50,000 for uninsured super elderly seniors (80 years or more).
  • Also, this provision allows a deduction of INR. 5000 for the price of a preventative health check-up for the individual or his family members, which includes his spouse, parents, and dependent children.
  • This deduction is in addition to the above-mentioned deduction of INR.25000/50000. However, they deduct more than a mention.

Keep these benefits in mind when you pick among the many medical insurance policies on the market. Choose the ideal plan for you based on your unique needs and requirements, and don’t lose out on all of these perks.

Best Health Insurance Plan:

Company Plan Entry Age Sum Assured(INR) Starting of premium
Apollo -4.c Munic HEALTH INSURANCE Optima Restore 18 — 65 years
(Individual) & 91
21 years (Floater
3 Lakh to 15
Lakh
5000
BAJAJ-11 Allianz Health
Insurance for
Individual
18 — 65 years 1.5 Lakh to 50
Lakh
Variable with SA
PARUPER HEALTH INSURANCE Heartbeat No age limit 2 Lakh to 50
Lakh
3700
e-RELIGARE Care Health
Insurance Plan
5 years — No
upper limit
2 Lakh to 60
Lakh
2300
HDFC ERGO Health Suraksha
Plan
No age limit 3 Lakh to 10
Lakh
Variable with SA

Also Read: Blood, Heart and Circulation: How to Maintain Healthy Heart

Conclusion:

It is crucial to choose health insurance plans so that you can get immediate economic help in case of a sudden accident. So, this article has excellently covered all things about health insurance plans for family and their benefits. Also, some health insurance plans are compared in the table to facilitate you. So, do not wait for anything and buy a proper insurance plan which will save you and your family in times of need.

Related Questions :

  • What are the 3 types of health insurance?

What are the many types of medical insurance?

Organizations that provide health-care services (HMOs)

Point-of-service (POS) plans are offered by exclusive provider organizations (EPOs).

Organizations that are preferred providers (PPOs)

  • Where is the best place to get health insurance?

2021’s Best Health Insurance Companies

Kaiser Permanente is the best option for a Health Savings Account (HSA).

Blue Cross Blue Shield is the best large provider network.

UnitedHealthcare is the best option for online care.

Aetna is the best option for employer-based plans.

Cigna is the best for Telehealth Care.

HCSC is the best option for HMO plans.

Molina Healthcare is the best option for wellness care.

  • Is Religare good for health insurance?

I suppose I can respond to your query. I’ve been working with Religare for the past two years, and they haven’t let me down. I was recently involved in an accident and was taken to a hospital close to my home. Thankfully, I had my cashless card with me, and the entire cashless transaction went quite well. No health insurance, in my opinion, is terrible; you simply need to consider what you want from it. Simply determine your requirements and go for it. It doesn’t matter whose firm you buy it from; just make sure you have one.

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