Health insurance is extremely important. It ensures you are protected from hospital bills and the cost of medical emergencies. However, for first-time buyers, it can seem a bit complex.
Keeping this in mind, the article will take you through important things that you should know about health insurance. It might provide you the clarity required to purchase the perfect health insurance plan.
It is an agreement between you and your insurance company wherein the latter agrees to compensate you for medical expenses you might incur. These medical expenses could arise when you fall ill or meet with an accident.
In most cases, when you are admitted to a hospital, you enjoy cashless treatment. This means that you do not have to pay anything to the hospital towards your medical expenses. This is because most health insurance companies have tie-ups with leading hospitals. These hospitals forward your bills to your insurance company, which foots your bills.
In other cases, in which the hospital does not offer cashless benefits, you can claim reimbursement from your health insurance company at a later date.
The cost of healthcare is increasing every year. Often, people fall ill or require certain medical procedures but cannot afford the treatment they require. This is when your health insurance comes into play. Health insurance also opens doors to advanced treatments and better medical care options that were previously out of reach. Combined, the two benefits of medical insurance can help you back to good health.
Compensation for pre- and post-hospitalisation expenses: Besides covering your hospital bills, a health insurance plan will also ensure your pre and post-hospitalisation expenses are taken care of. This includes things like diagnostic tests, doctor’s consultations.
Compensation for transportation costs: Ambulance charges are usually separate from hospitals bills; several health insurance plans cover these costs as well.
Compensation for medical check-ups: Your health insurance company wants to see you healthy. That’s why they cover the costs of medical checkups as well!
Tax benefits: Health insurance tax benefits can help you avail deductions on your taxable income to the tune of Rs 1 lakh, as per section 80D of the income tax.
No claim bonus: Another huge plus of a health insurance policy is no claim bonus. It could increase your cover at no cost or reduce your premium amount without lowering your cover every year. This is as long as you do not make a claim against your policy.
Knowing the claim process for your health insurance policy is important. Though every insurance company might have a slight deviation from the next in terms of formalities, the procedure to register a claim and receive compensation is uniform across most insurance companies. However, this process will differ based on the type of claim you have registered.
This is probably the easier way to claim compensation. One has to simply provide the details of their insurance plan at the hospital, and the expenses will be taken care of without much intervention by the insured. The bills will be forwarded to the insurance company and the tabs will be settled.
In case of reimbursement, the insured will have to cover all medical expenses and hospital bills themselves. Then they will have to register a claim and provide all the original bills to the insurance provider that will verify and approve or reject the claim. Upon approval, the claim amount will be reimbursed to the insured.
The views, thoughts, and opinions expressed in the artefact above are for marketing purposes only. Before concluding the sale, please refer to policy wordings and prospectus
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