Secure your health with HDFC ERGO Health Insurance

In today’s time, health is like a two sided coin wherein one side is the increase in life expectancy due to advancement in medical science and other is the constant risk faced by individual that they could be prone to illness/disease due to serendipity lifestyle and eating habit. Medical insurance is a boon considering the skyrocket treatment costs and the quality of treatment desired by individuals.

Various general insurance companies have come up with health insurance plans. Among all of them, HDFC Ergo offers the best plan and the variations in plans suits to the pocket of every person.

Broadly, the health insurance plans are categorized into two sections:

1.       Indemnity Plan

2.       Lump sum Plan

INDEMNITY PLAN

Indemnity plans reimburses the factual i.e. real financial loss suffered by the policy holder. This coverage is however, subject to the sum assured limit.

Common features provided by HDFC ERGO under the indemnity plans are:

·         Coverage of pre hospitalization and post hospitalization expenses

·         Expenses of emergency ambulance

·         Benefit of cumulative bonus

·         Medical check-up

·         Cost of in-patient treatment

·         Benefit of AYUSH (non-allopathic treatment)

Plans offered by HDFC Ergo under the indemnity health insurance are as follows:

1.       Health Suraksha

Main features:

·         Cumulative bonus after each claim free year

·         Health check-up costs covered after 4 years of no claim

·         No capping on room rents, doctor fees, hospital costs and specified diseases.

2.       Health Suraksha with regain and Enhance Cummulative Bonus (ECB)

Along with the basic features provided by the health suraksha plan, the additional advantage provided by this plan is:

·         Policy holder gets automatic availability of the sum assured in case it gets exhausted.

·         Cummulative bonus is enhanced to 10% up to a maximum of 100% of the original sum assured.

3.       Health Suraksha Gold

Additional benefits provided by this plan is

·         Maternity benefits (though it has a waiting period of 4 years)

·         Insurance cover to the new born baby

·         Expenses of the recuperating phase i.e. the recovery phase is covered if the policy holder was hospitalized for a period exceeding 10 days.

·         E-opinion provided in case diagnosed with critical illness

4.       Health Suraksha Gold with regain and ECB

Along with the features provided for health suraksha gold plan, additional benefit of this plan is:

·         Provides availability of basic sum assured in case it gets exhausted.

·         Cumulative bonus is of 10% every year up to a maximum of 100% of sum assured.

5.       My health medisure classic

Main features:

·         Discount of 5% in case policy bought for 2 years

·         Restoration of sum assured in case it gets exhausted due to accident.

·         Covers maternity and new born

6.       My health medisure super top-up

This policy can be bought with the existing insurance cover and provides enhanced coverage at low premiums. It can be bought even if you don’t have an already existing health insurance.

·         No medical tests required up to 55 years of age provided you have no Pre-Existing disease

·         Premium is constant at 61 years of age and above.

·         Policy can be renewed for life.

·         Discount of 10% on the premium if two or more than two members are covered for individual sum assured (in same policy)

LUMP SUM PLAN

Lump sum plan is a unique plan in which the policy holder is paid a lump sum amount i.e. the entire sum assured if any of the covered illness or disease occurs. HDFC Ergo offeres two plans under the lump sum plan category.

1.       Critical illness Silver

In this plan, 9 illnesses are covered, they are:

1.       Stroke

2.       Failure of Kidney

3.       Organ transplant

4.       Bypass surgery

5.       Paralysis

6.       Aorta graft surgery

7.       Multiple sclerosis

8.       Heart Attack

9.       Cancer

Upon the diagnosis of any of the above illness, the policy holder will be provided a lump sum amount to avail the treatment.

Additional benefits are:

·         Takes care of expenses incurred during treatment and recovery phase

·         Provides income lost due to aging factor and money for reasons like change in lifestyle

2.       Critical illness Platinum

This plan is same as the silver plan. The additional benefit is it covers 15 illnesses (i.e. 9 illnesses of the silver plan + Additional 6 illnesses). Below are the additional illnesses covered:

1.       Parkinson’s disease

2.       Liver disease (last stage)

3.       Alzheimer’s disease

4.       Replacement of heart valve

5.       Benign brain tumor

6.       Preliminary pulmonary arterial hypertension

With so many benefits under each plan offered and pocket-friendly options provided by HDFC ERGO, deciding to buy a health cover has become very simplistic task. You can buy a health cover online and calculate your premium with the help of premium calculator tool available online on the website of HDFC Ergo.

Source:  Secure your health with HDFC ERGO Health Insurance

What are the things to avoid while buying health insurance policy?

Health is wealth is the most commonly used proverb when it comes to health. It holds true in entirety as you won’t be able to enjoy your desires if you don’t have health on your side. Sedentary lifestyles have made individuals more prone to health related issues. Buying a health insurance is a more of a necessity than a luxury. Keeping in mind the rising medical costs and inflation rate, an unwarranted medical emergency might create a big hole in your pocket.

You can buy a health insurance from various modes which are:

• Insurance Agent
• Directly from the Insurance service provider or
• Online

However, there are few things which can help to avoid making these mistakes while buying a health insurance policy.

• Relying only on the group insurance provided by the employer

Many a times, professionals do notbuya separate health insurance policy as they are already covered under the corporate plan. But despite of being covered by a group insurance policy, there can be a time lag in between job switch or unwarranted situations like unemployment wherein he and his family can be uninsured.

• Insuring your health too late

Buying a health insurance plan at an early age has its own sets of benefits. In the early ages, you will be less prone to diseases and there will be no pre-existing medical ailments, which will result in lower premiums. Availing a policy late in life might require medical check-ups and also, a rise in premium.

• Co-payments and Deductibles

In co-payment, the policy holder accepts to pay a fixed percentage of the hospital bill from his pockets. In return, the insurance service provider takes lesser premium. Co-payment can be a compulsory clause in the senior citizen health insurance plan.

Deductibles are like co-payments, the only difference being is in deductibles, a fixed amount is specified in the policy document instead of a percentage.

Co-payment as well as deductibles is cost-sharing clause in health insurance policy. A person buying a health insurance should avoid such clauses.

• Hiding Information regarding your health in the application form

Providing correct and accurate information regarding the policy holder’s and his family member’s health is vital to the insurance company. It provides a peace of mind to the person buying insurance and helps the insurance company to calculate the appropriate premium. While applying for a health insurance, avoid filling inaccurate or false information which might lead to confusion and non-entertainment of claims.

• Comparison of policies on the basis of premium

Generally, people compare two products or services on the basis of price. But in case of health insurance, a low premium by the insurance service provider might mean exclusion of certain disease. Exclusion of diseases means there could be few ailments which you or family can be impacted due to family history or lifestyle. Such health policy might not serve the purpose for which you have bought them and in case of illness, you might end up paying the hospitalization expenses from your pockets.

• Only purpose to buy policy is to save tax

Premium paid on health insurance is liable for exemption under section 80D of the Income tax act. The exemption limit is:

• 25,000/- for self, spouse and dependent children
• 30,000/- for senior citizens

Many a times, individuals end up buying health policy keeping in mind the tax exemption and do not pay much attention to the ailments covered and benefits provided by the policy.

• Not looking at the policy after it is received

Once the policy is issued and delivered, you should check your personal details like name of the policy holder, family members covered the health I-card of each member. In case of any discrepancies, contact the respective agent or the insurance company and ask them to make the necessary changes. This is because when a medical emergency situation arises, you don’t want to be wasting time by coordinating with the insurance service provider which ends up delaying the approval process.

• Not reading the policy conditions

It is very important to be aware about the policy terms and conditions which ensure you take the right decision while buying a health policy and are not left disappointed.

• Not knowing other options available

Various policy options are available at the click of a mouse. There are websites which help you compare the policies offered by different insurance companies and help you make the right choice.

So, if you are planning to buy an insurance plan for you and your family, avoiding the above aspects will definitely help you in taking the right decision.

Source:  What are the things to avoid while buying health insurance policy?

POST NAVIGATION

5 Essential Tips to buy the Best Critical Illness Policy

Health Insurance plans give you protection from unexpected financial expenditure that arises due to sudden illness, accidents and other health related issues. The coverage and policy premiums vary based on different parameters like age, gender, family medical history, basic health and habits of the policy holder and locational or occupational hazards, if any. Health benefits could be extended over the basic health insurance plan by certain add-on in excess to the base policy as required by individual need and preference.

Health Insurance Policies Types

In India, health insurance is broadly classified under 3 types:

·         Critical illness policy -- This is different from general health insurance policy since only certain pre-specified illnesses are covered under critical illness policy rather than more general health and accident coverage. Moreover, the lump sum amount is paid to carry out treatment once the diagnosis is done decisively. General health insurance does not include certain diseases and to overcome this shortcoming, there is the need to buy the critical illness cover policy. This is an add-on or rider on top of your general health insurance policy. Some of the most common critical illnesses that are covered under this plan are heart attack, stroke, cancer, blindness, terminal illness, paralysis, organ transplant etc.

·         Hospitalization plans – This plan covers the medical and hospitalization costs of the insured. Coverage is up to the sum insured. Based on the person(s) insured under the policy, the plan can extend to single individual, all individuals in the family separately or as a family floater. For example, for a family of 4 people, there can be 4 individual health insurance policies of 1 lakh each. Or there can be a family insurance plan of 4 lakhs where each member is insured up to 1 lakh individually. They might have a family floater plan of 4 lakhs where any and all members can use any amount not exceeding a total of 4 lakhs for the entire family.

·         Daily Cash benefit plan for hospitalization – Here the insured will receive an agreed up on daily payment irrespective of the actual cost incurred during the time the person is hospitalized. If the daily pay-out is more than the actual cost of hospitalization, that works as an added income or benefit for the insured.

While shopping for a critical illness policy you need to look for the following:

·         Current Financial situation – Do a homework regarding your financial position. If you can afford to face the financial challenges in case there is a critical illness, then you can go for a smaller coverage under critical illness plan. Also, keep in mind that health related expenditure are always on an upward move, so health insurance plan should be done accordingly.

·         Current health situation– Your present health condition will matter when it comes to shop for critical illness policy.  Obesity, unhealthy habits of smoking and drinking pose higher risk and exposure to certain critical illnesses in future. And these add to the cost of premium exactly the same way it does for general health insurance. Taking critical cover plan early in life when you are healthy is a better idea.

·         Current Family Set Up – If there are senior citizens or aging parents in your family, it is imperative to get covered under Critical illness policy since there is higher chance that health emergency can occur and put a financial burden on you.

·         An add-on that will complement the general health Insurance policy – Your Critical illness policy should be complementing the general health Insurance plan that you already have so that when both combined, they optimise the coverage. That becomes most cost effective.

·         Go for a more comprehensive coverage – Shop for the different Critical Illness plans offered by different insurers. The list of covered illnesses varies. Make sure the plan offers the coverage for most critical illnesses. Also the terms and conditions are important to understand the inclusions and exclusion.

·         Look for Claim Settlement Ratio and No Claim Bonus – The higher the percentage of the claims settlement by the insurer, the better is your chance of getting reimbursed for your illness cover. Moreover, on a particular year, if there is no claim, then some insurers reward you with certain percent of premium. While looking for a policy, look for these from the insurer. 

S   Source: 5 Essential Tips to buy the Best Critical Illness Policy

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Why Critical Illness is needed with Your Basic Term insurance?

Do you know the benefits of a term insurance plan? Besides the low premiums, which are an obvious favorite, the plan fulfills the most basic life goal – income replacement. By providing a combination of a high Sum Assured and cheapest premiums, a term insurance plan ensures financial security for the family if the insured dies pre-maturely. As such, a term plan is very popular among many of us.

Have you invested in a term insurance plan? Great! Have you included a Critical Illness Rider in your Term plan?

Riders, like the insurance plan, are also a very beneficial component. It is mostly because of our ignorance that we overlook riders when we buy a term plan. Take the instance of the Critical Illness  itself. Despite being beneficial, how many of us have included it in our term plan? Not many. So, let us put our ignorance to rest and understand what a Critical Illness Rider is and how it is important.

What is a Critical Illness Rider?

Riders are additional benefits which can be added to our basic insurance plan for increased benefits. It covers specific critical illnesses. If we suffer from any of the covered critical illness, the rider pays us an additional Sum Assured in lump sum. This benefit is paid simply on diagnosis of our illness irrespective of whether we die or avail treatment for the same.

What is the importance of including the Critical Illness Rider with our Term Insurance Plan?

·         Critical Illnesses are common and financially difficult

Do you know why Critical Illnesses are called so? These illnesses are severe, fatal and chronic. They involve complicated medical treatments and procedures. Do you know the cost of such procedures? Let’s just say that the costs are magnanimous. Juxtaposed to this, critical illnesses are also becoming very common nowadays. Whether you talk about cancer, stroke, heart attacks or organ failures, critical illnesses are on the rise. This deadly combination of increasing illnesses and high medical costs is a curse for us, both physiologically and financially. Critical Illness Riders, by providing financial support, help in taking care of the financial aspect of the illness which would otherwise be difficult for us.

·         The rider increases the scope of cover

Our term insurance plan pays the benefit only in case of pre-mature death. What happens if we are merely diagnosed with an illness which might not cause death? Would the term plan pay? No, it won’t. But, a critical illness, though not fatal, does require considerable funds for its treatment. A Illness Rider comes into the picture here. Since the rider pays the benefit on mere diagnosis of the ailment, it provides us with the required funds for the treatment of the illness. As such, the rider increases the scope of coverage.

·         The rider helps in replacing your income

When we suffer from a critical illness, we are forced to take a break from work. As such, our income stops. The benefit paid by the rider can be used to replace this income and meet the day-to-day living expenses of us and our family.

·         The rider saves additional tax

The premiums you pay for your term plan is exempt from taxation under Section 80C. If you also include a Critical Illness Rider, you get an additional tax exemption under Section 80D. Thus, the rider helps you in claiming additional tax exemption.

A critical illness rider, thus, has various benefits. These benefits can be yours if you include the rider in your term plan. If you are worried about the additional premium outgo, relax! Rider premiums are minimal. By paying a fraction of your term insurance premium, you can add the rider to your basic plan. Do the math yourself. Do a term insurance comparison, or a Term insurance with return of premium comparison both with and without the rider and you would understand the cost-benefit aspect of the Illness rider. With so many benefits promised by the rider at the lowest possible cost, isn’t it prudent to add it to your term plan?

Source: Why Critical Illness is needed with Your Basic Term insurance? 

Why Should You Invest in Health Insurance in 2017?

We step into the New Year with lots of hopes and dreams. Whether it is buying a new car, getting that much-awaited promotion or moving into a new home, we have numerous hopes when starting a fresh new year. We make elaborate financial plans to either create a financial portfolio or to review one. Does buying a health insurance plan feature anywhere in such planning?

For most of us, the answer is, sadly, ‘No’. While we plan to buy a new car, a new home, the trendy mobile phone, etc. we usually ignore investing in a health insurance plan. Is it wise? Of course, it isn’t.

 A health insurance plan is an important part of our financial portfolio and should not be given a miss. If the importance of a health insurance plan is lost on you, here are some reasons why you should invest in a good health insurance plan this year:

·         Diseases and ailments have become very common

As per the 2016 World Health Statistics Report published by the World Health Organization, the burden of diseases in India has increased by astonishing marginsin the last decade. While 12.4% of total deaths resulted from heart-related ailments, 10.8% were from lung diseases. Even road accidents took 3400 lives every day. The numbers are dismal, aren’t they? With such a high burden of diseases, doesn’t a health plan make sense?

·         The cost of medicine is increasing by leaps and bounds

If the increasing incidence of ailments is not enough, there is another bad news for you. The cost of medicine is on an upward trend. Prescription drugs, surgical treatments and procedures have become very expensive. For a common man, affording these high medical costs is a strain on finances. A health insurance plan is relevant in this context. By providing compensation for medical expenses, a health insurance plan helps in safeguarding our finances.

·         Your investment goals should be secured

When we save, we save with various intentions. We save for our children’s future, for creating assets, for creating an emergency fund and for our life post retirement. When a medical emergency strikes, we need funds to pay for the various medical treatments and procedures. As mentioned earlier, these procedures are expensive. In the absence of a health insurance plan, our savings face the brunt of our medical expenses. The life goals for which we had created such savings go unfulfilled. Thus, we should have a health plan which would take care of such emergent medical costs and not hamper our investment goals.

·         There are different types of health plans

Apart from your basic mediclaim policy which pays your hospital bills, there are other health insurance policies types which are specially designed to serve different purposes. For instance, critical illness plans pay a lump sum if you are diagnosed with any illness covered by the policy. There are diabetes-specific plans which cover you even if you are a diabetic. Senior citizen plans are available to cover you in your golden years. So, whatever your requirement, a health plan provides you the solution easily.

·         Health plans save taxes too

If the above reasons are falling short in convincing you on the importance of a health insurance plan, here’s the tax angle to sweeten the deal. The premiums you pay for a health insurance policy are exempt from tax under Section 80D. If you pay the premium for yourself, your spouse and dependent kids, you can avail a maximum exemption of Rs.25, 000 annually. If you are a senior citizen (above 60 years of age) the exemption limit increases to Rs.30, 000. If you pay the premiums for your dependent parents, you can claim an additional exemption of Rs.25, 000 every year. Moreover, if your parents are senior citizens, this limit also increases to Rs.30, 000. Therefore, a total exemption of Rs.60, 000 annually can be claimed by buying and paying the premiums of a health plan.

So, what do you think? Shouldn’t you invest in a health insurance plan this year? Besides saving your finances, a health plan also helps in saving your taxes. So, go search for the best and cheapest health insurance policy and buy one today.

Source: http://www.sooperarticles.com/finance-articles/insurance-articles/why-should-you-invest-health-insurance-2017-1553739.html