My husband and I work for multinational companies. We are both in our mid-30s, with a combined monthly income of over ₹2.5 lakh. Each of us has a corporate health insurance cover of . ₹4 lakh from our respective employers; if combined, it makes for ₹8 lakh total coverage. Is the cover adequate or do we need additional health insurance? Will add-ons make a difference?
Vanitha
It is always beneficial to enrol yourself in a corporate health insurance policy offered by your employer. It provides various benefits at a lower cost. However, this cover from your respective employers of ₹4 lakh for each member may not be adequate, considering the uncertain times that we live in, where the cost of medical procedures and hospitalisation is rising every day. As an alternative safety net, requisite health insurance top-up plans are available, where the additional cover can be availed at a lower premium with the deductible equivalent to the cover provided by employers.
For example, in a situation where a person has a liability of ₹10 lakh for hospitalisation, and if he has a health top-up plan for ₹10 lakh over and above the base health plan with a deductible of ₹4 lakh, then the hospitalisation bill will be paid by a combination of both policies i.e. ₹4 lakh from the base policy of the corporate (in this example) plus ₹6 lakh from the health top-up plan. Such covers are available at very affordable premium rates.
It is also important to remember that your employer-provided health insurance policy will stop when you are no longer employed by the company. Hence, it may be advisable to opt for an additional personal health insurance cover or avail a family floater policy suitable to your current needs that covers both you and your family (spouse and children).
To deduce the ideal sum insured, take into consideration your current age, family size/dependents, lifestyle, medical history and pre-existing illness, and healthcare requirements. Compare the cost of additional insurance cover with its potential benefits. Consider factors such as premiums, deductibles, co-payments, coverage limits, waiting periods, and exclusions.
While choosing a health insurance policy, compare various policy plans based on their features, restrictions and requirements and ensure that the final plan meets all healthcare requirements. It’s also advisable to consult with a licensed insurance professional who can provide personalised advice based on your specific needs.
The writer is Head - Health Businesses, SBI General Insurance
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