Different Types of Health Insurance Policies Offered in India

During a health emergency, a person requires both financial and emotional support. By providing coverage, health insurance ensures financial and mental peace for the affected individual and his/her family. But the key lies in choosing from various health insurance options. Different insurance firms offer several policies; it is thus crucial to determine needs and wants before selecting the best option. Let's examine the many insurance policies available in India.

In India, there are broadly seven types of health insurance:

1. Individual Health Insurance

You can get individual health insurance coverage for your partner, kids, and parents. Such policies cover your medical expenditures for accidents and illnesses that require hospitalisation, as well as charges for surgery, lodging and board, child care, and other things. The individual sum Insured will be for each participant of the individual health insurance plan. For instance, if you get a 3 lakh individual health insurance policy covering you, your spouse, and your two children, each person will have a 3 lakh individual sum insured despite the fact that it raises the price significantly. This plan is available for purchase by those between the ages of 18 and 65 years.

2. Family Health Insurance Plan

Family health insurance policy, also referred to as the family floater plan, covers every family member under one roof. All family members, including your spouse, children, and seniors, are covered by family health insurance plans. The entire family is insured for a single premium paid by just one family member. If two family members receive care simultaneously, you may submit claims for both up to the insurance's maximum sum limit. The eldest person to be covered under the plan's coverage determines the premium. Therefore, avoid including any family members older than 60 in your family health insurance plan as they are more susceptible to illness.

3. Critical Illness Insurance

Due to the rise in lifestyle diseases, insurance firms have developed insurance policies that include coverage for specific health conditions. Cancer, stroke, kidney failure, paralysis, aorta graft surgery, coronary artery bypass surgery, heart attack, pulmonary arterial hypertension, multiple sclerosis, and kidney failure are only a few of the health issues. The coverage pays the insured a predetermined amount as soon as the condition is identified due to the high expense of treating these health problems. An essential requirement for receiving payments under lifetime renewable coverage is that the policyholder must remain alive for 30 days following diagnosis. The most important thing to keep in mind is that after the diagnosis, the insurance expires and the fixed sum insured is paid out in a lump sum.

4. Group Health Insurance

One of the emerging categories of health insurance coverage that is popular nowadays is group health. The employees of numerous medium and large-sized businesses have access to this insurance policy. The company's employer purchases this kind of health insurance for its employees. Comparatively speaking, this policy's premium is lower than that of an individual health insurance coverage. It is made available to the group of employees to address the financial crisis and promote caution within the organisation.

5. Senior Citizen Health Insurance

People over 60 years old are the target audience for the scheme. The insurance plan pays for medical expenses, pre and post-treatments, acute disease cases, and accidents. To determine the amount insured and the premium cost, some businesses also do a complete physical examination before the insurance is signed. These policies are considered more expensive since seniors are more likely to experience health issues. 

6. Maternity Health Insurance

Along with the basic health insurance programme, Maternity cover can be purchased as an add-on. The costs related to pregnancy, birth, and postpartum care are all covered. Families expecting a child soon or newlywed couples should purchase this coverage. Costs associated with infertility, labour (including medically necessary abortions), and newborn care for the first 90 days are all covered. There is, however, a two-year waiting time for maternity coverage that must be considered.

7. Top-Up Health Insurance

You can purchase a top-up policy if you want coverage for bigger sums. But these policies have a "deductible clause." Therefore, in the event of a claim, the payment will be issued more than the policy's specified amount. For instance, if you purchased coverage for INR 15 lakhs with an INR 3 lakh deductible, you will be responsible for paying the first INR 3 lakh of any claims. The insurance company will cover any additional costs. Therefore, you might purchase this plan if you want greater coverage than what your basic health insurance policy offers.

Conclusion

In today's fast-paced world, health insurance is imperative. It is essential to safeguard your loved ones and yourself from any circumstance that can prevent you from supporting yourself financially. You may find it challenging to select a health insurance plan that meets your needs when numerous health insurance providers are on the market. Spend some time comparing the various insurance types online based on their offerings, premiums, or insurers' claim settlement ratios, and then choose the one that best meets your needs.