Health Insurance: An Overview An individual’s good health is one of the most priceless things they possess. Therefore, taking good care of it must be a priority. But medical bills can be quite heavy on the pocket. With skyrocketing prices, even a minor treatment or a doctor’s appointment may consume a lot of money. Health insurance is a smart way to cover expenses in case of an unexpected calamity. In case of emergencies such as a severe ailment or accident, health insurance comes in handy. People usually overlook or ignore their health problems either till it escalates or till it’s too late, primarily because they cannot afford to pay medical bills. Health insurance in India is affordable. It gives you assurance and freedom from unplanned financial burden. A health insurance policy is a contract between you and your insurance provider. It can be renewable or, in case of private insurance, lifelong. It can also be mandatory for all citizens in case of a national plan. The insured individual is obligated to pay the premium, which is an amount to be paid to the health insurance plan to purchase policy coverage. A deductible is something an insured person must pay out-of-pocket before the health insurance company pays its share. There will also be exclusions where not all services are covered. There are coverage limits where the insurance policies will pay medical expenses only up to a certain amount. Health insurance plans are mainly of two types – Individual Health Insurance Policies and Family or Group Health Insurance Policies. Individual policies will only cover the policy holder while family and group policies have a sponsor who owns the plan and a group of people are covered under the plan. Most people opt for group health insurance coverage through their employer. As a group, all employees are pooled together to obtain insurance. Health insurance policies help you save tax which means you get dual benefits as you save on tax as well as medical expenses. Different health insurance companies carry different coverage features. A few of the common ones include hospital room and boarding charges, doctor’s consultation, diagnosis, ICU and other medical material cost. Chemotherapy, Radiotherapy and Dialysis along with pre and post hospitalization charges are also included. A few health insurance policies may cover ambulance charges while cashless facility in the best hospitals is offered by most of the general insurers. With so many benefits to gain from health insurance, it is definitely a wise option to go with.
Published on Jul 29, 2013
Published on Jul 29, 2013
Our health means the world to us, yet we tend to neglect it citing financial issues. Health insurance is a good way to manage those expenses...