How to choose right Health Insurance for your family?
A prolonged illness or a sudden accident can have a great impact on our financial stability. So before you come across any emergency in your life, it is important to stay well prepared in advance. Here is why it is important to choose right Health Insurance for your family?
Due to the soaring cost of healthcare in India, investing in health insurance has never been a better decision.
According to a study of Indian Industries by India Mirror, around 30 billion USD was spent on healthcare in India in the year 2014. And shockingly, out of which only 10 percent was covered by insurance. It is undoubtedly because of health insurance penetration in India, which is less than 5 percent in the country.
There are numerous health insurance plans in India, so it is important to choose the right one. So if you are facing in choosing the right plan then we are here to help you .
Here are three main types of health insurance. Read, evaluate and then choose.
1.Fixed Benefit Health Insurance Plans
This type of plan offer a fixed pre -defined benefit in the event that certain specificed illness, surgeries or hospitslization occur. Notably, these plans are generally offered as standalone critical illness covers. It can also be bought in addition to the Mediclaim policy.
The important point to note is here is that in case the insured is diagnosed with any of the critical illness covered by the policy, an amount equal to sum assured irrespective of the actual amount spent by the insured is paid to the insured.
1. Indemnity-Based Health Cover (Mediclaim)
These types of policies reimburse the expenses on hospital up to a certain extent of the assured sum . One can renew these plans yearly. And interestingly, you can cover yourself and your entire family under a single person policy. Notably, the premium payable on these policies increases with your age. They have some restrictions and only a certain percentage is reimbursed.
3.Unit Linked Health Plans (Money Back Health Insurance Plans)
ULIPs are one of the most advanced health insurance plans in India. They combine health coverage with investments . ULIPs offer a variety of fund options which come with varying equity exposures.
The biggest advantage of this policy is that not only your health gets covered but you also get returns on your investment. In fact the invested funds can be used to cover health – related expenses that are not otherwise covered by the policy.
So before you go ahead and pick any policy for you, analyse it efficiently.