A lot of individuals in India do not realize the importance of health insurance. In fact, a lot of them feel paying the premiums as an additional expenditure in their already existing list of expenses. But, in reality, health insurance can prove to be highly beneficial when it comes to medical treatments.
Although it is a necessity for every individual, urban individuals need it more. It is because the busy schedules, stress, rising pollution levels and lack of physical work makes them prone to diseases. And the treatment of some diseases can cost an individual a fortune. Therefore, having a health insurance is as important as having a stable source of income.
As several policies offer free health checkups, the individuals get prepared as diseases can be detected at the early stages. A lot of policies also include the newborn children after a certain number of days, which means that the family planning can be done without any burden.
Common Benefits and Features of Health Insurance Policies
In order to ease up the lives of the policyholders, the health insurance policies offer various benefits and features through their policies.
- No claim bonus is a very popular feature of health policies under which the policyholders receive a bonus if they don’t make a claim during a specific year.
- Cashless hospitalization is another feature through which the policyholders don’t have to pay the bills of a treatment through their own pocket. In this feature, the bills are paid directly by an insurer or through a middleman to the hospital.
- The individuals also enjoy tax deductions as per the Section 80D of Income Tax Act. The maximum limit of deductions can range from Rs. 25000 to Rs. 60000 on the basis of age of insurer or his/her family member.
- A lot of policies also offer claims for domiciliary hospitalization, which means cover for treatment and care of a patient at home if recommended by the doctor. The insurers usually offer this facility if the treatment exceeds a certain number of days for an injury or illness.
- Does your existing health insurance plan cover claims related to Coronavirus?
- A standard health insurance plan provides coverage towards hospitalization, surgical, pre and post hospitalization expenses, room rent, ambulance charges, etc.
- For Coronavirus related cases the test procedure undertaken toward confirmation of COVI-19 are currently free i.e. the government bears these expenses. In case a person holding a health insurance policy gets hospitalized due to coronavirus for a period of more than 24 hours only then such patients hospitalization, surgical, post-hospitalization expenses, room rent, ambulance charges.
- In this regard, even the regulatory body of life insurance in India i.e. Insurance Regulatory and Development Authority of India (IRDAI) has issued guidelines through its circular dated 04th March 2020. IRDAI has asked insurers to expeditiously handle Coronavirus related cases where hospitalization is covered. It has also asked the insurers to settle the expenses related to admissible medical expenses occurred during the course of treatment including the quarantine period as per the applicable terms and conditions of the policy and extent of the regulatory framework. Also, the insurers claim review committee must thoroughly review all the claims related to Coronavirus or COVID-19 before repudiating them.
- Can I buy a Coronavirus Specific Health Insurance Plan?
- Yes, in the circular mentioned above IRDAI has also asked the insurers that to provide need-based health insurance coverage, insurers are introducing products for various specific diseases, including vector-borne diseases. For the purpose of meeting health insurance requirements of various sections, insurers are advised to design products covering the costs of treatment for coronavirus.
- Digit Insurance has recently launched a Need Based Insurance against Coronavirus. This cover is offered under its Digit Health Care Plus Plan. One can choose this policy if their age ranges from 18 to 60 years. A policyholder can choose a sum insured within the range of minimum Rs. 25,000 to maximum Rs. 2 Lakhs. The policy is available on an individual basis only, in case the policyholder is diagnosed with coronavirus the sum insured up to 100% is paid. In case, the patient is quarantined in a government or military hospital 50% of the sum insured is paid. This feature has a waiting period of just 15 days and is available under Section 12 of the Critical Illness Benefit Cover offered under Digit Health Care Plus Policy.
One has to provide information on whether
- the Insured and/or Insured Members Proposed have travelled to China / Japan / Singapore / South Korea / Thailand / Malaysia /Hong Kong /Macau/ Italy/ Iran/ Taiwan/ Kuwait/ Bahrain since 1st December 2019
- Is the Insured and/or Insured Member(s) suffering from any respiratory-related symptoms like severe cough, respiratory distress, breathlessness from last 4 weeks.
- If the answer to the any of the above questions is a yes then the policy is not issued. This experimental product is launched under IRDAI’s Regulatory Sandbox Regulations 2019 for a limited period of time.
- If one has a health insurance policy one can be relaxed that if unfortunately, they require treatment against coronavirus then their medical expenses will be taken care of by the insurer. It is wise to get oneself covered with a health insurance plan, if one does not have health insurance, they can buy a plan which covers the same and that too with a limited waiting period of just 15 days.
