Sunday, October 24 , 2021

Here’s What You Should Know About Health Insurance

Everyone wants a tension-free, stable life for themselves and their loved ones. And having the best health insurance plan provides you a safe financial blanket in case of a medical emergency. Today’s youth understands the importance of maintaining a healthy lifestyle. But many people take medical insurance just for the sake of tax savings. It is prudent not to wait for hospitalization and then take the necessary steps towards medical care’s financial aspect.

A stressful and inactive lifestyle has become a norm due to desk-bound jobs. Medical emergencies and lifestyle diseases continue to peak among people irrespective of their age. As demand for quality healthcare services increases, so does the expenditure associated with it. It is also essential to consider family health insurance plans for the security of your family. 

What is Health Insurance?

Health insurance is the coverage taken by a person for covering medical expenses in a health emergency or hospitalization. There are various types of health insurance in the market that cover different expenses such as checkup expenses, daycare costs, and high costs of a life-threatening illness.

So, a health insurance policy is an agreement between the insured and the insurance like Roger Welch Agency company wherein the insurance company guarantees reimbursement of the policyholder’s medical care expenses. It involves illness or accidents that lead to hospitalization. Insurance companies provide the option of cashless treatment as well as reimbursement afterward.

Medical Insurance Terms You Need to Know

Suppose you are just beginning your search for the best health insurance policy for yourself or your family. You need to understand the meaning behind specific terms in the health insurance industry.

  1. Survival Period: It is used when you take a critical illness insurance plan. After the illness is diagnosed, the insured has to survive for a minimum of 30 days to take the benefits of the claim.

     2. Network Hospitals: Every insurance company has an association with multiple hospitals for their policyholders. Such hospitals are known as network hospitals. These provide the benefit of cashless treatment to the insured.

     3. Pre-Existing Illness: It refers to the ailment or disease that a policyholder has before purchasing the insurance plan. Commonly, pre-existing illnesses are not covered by insurance companies. If you complete four years of the policy, then your insurance provider may include them.

    4. Waiting Period: It is the wait time after which the insured can take advantage of his/her insurance policy. In emergency hospitalization due to accidents, coverage is given even before the waiting period gets over. The waiting period varies according to the insurance company, but mostly it is 30 days.

    5. Inclusions: The insurance policy specifies whatever that is being covered and exclusively mentions the same. These are known as inclusions and must be read carefully.

    6. Exclusions: Also, whatever is not being given coverage is mentioned in the policy documents as well. The most common exclusions in medical insurance include dental treatments, HIV AIDS, self-inflicted injuries, etc.

Types of Health Insurance

There is no generality when it comes to health insurance. Consider choosing insurance as per your requirements. The most common types of health insurance are as follows – 

  1. Individual Health Insurance: An insurance solely taken for the coverage of medical expenses of an individual

      2. Family Floater Plan: A plan that provides coverage for the whole family and is known as a floater plan. Usually, it covers two adults and two dependent children. Some programs also give the flexibility of adding parents and parent-in-law as well.

      3. Senior Citizen Health Insurance: As the name suggests, this plan provides insurance to people above the age of 60 and offers extensive medical coverage associated with old age.

    4. Critical Illness Insurance: Surgery or life-threatening ailments are covered herein, such as cancer, autoimmune disease, etc.

     5. Maternity Insurance: For continuous medical and checkup aid to pregnant women, this policy is preferred. It includes all the expenses from pre to the postnatal duration and sometimes even the infant’s vaccination.

Selecting the Right Insurance Policy

A policyholder must give importance to a few things before deciding on buying health insurance. 

  1. Coverage Scope: Always read the policy documents properly to know the inclusions and the exclusions. Just because a policy has a lesser premium does not mean that it is beneficial.

    2. Renewability: You must check the duration of years for which your insurance policy protects you. In order to continue it, premiums have to be deposited on a timely basis. A break in premium means losing all the benefits.

   3. Claim Settlement: One should ask the insurance company for their claim settlement ratio in order to ascertain their credibility. This gives you protection from harassment and tension in the future.

In conclusion, health insurance is a must as medical expenses have increased by a whopping 15% in recent years. One should compare health policies online and then make a calculated decision. After all, it is about safeguarding your finances and mental peace in case of a contingency.

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