There are many kinds of insurance products in the market like general insurance and life insurance. A general insurance plan means any non-life policy, and includes health insurance.
Health insurance is incredibly important. Everyone needs to invest in a good health insurance policy that offers maximum coverage and comes with a high sum assured. The coverage you get generally depends on the premium you pay. You can choose from a wide range of insurance policies and you need to be aware of the differences between them. The one-size-fits-all rule doesn’t apply to health policies. It’s important to bust some misconceptions related to health care plans. Here are some of them.
Young people do not need health insurance
The most common misconception that people have is that health policies should only be purchased when one is slightly older – probably when you’re in your forties of fifties. People assume that since their chances of falling ill are lower when they are younger, getting health insurance plans at a young age is futile and a waste of money. The fact, however, is that medical insurance comes in handy at any age. In fact, if you buy a policy when you are younger and healthier, you end up paying a lower premium for a higher sum insured. Plus, you get other benefits like tax cuts, accumulating bonus points for not making claims etc.
Every hospital offers cashless treatment
When people get a health insurance plan, many assume they get cashless treatment. That is, they think that when they are hospitalised, they don’t have to make any payment. However, not all hospitals offer this facility. You can seek cashless treatment only in your insurance providers’ network hospitals. The insurance company gives you a list of hospitals which are part of their network where you can seek cashless treatment. If you choose a hospital outside of the network hospitals, you have to make the payment upfront, file an insurance claim and wait to be reimbursed.
You can seek treatment for everything under a single insurance policy
While you can seek treatment for most kinds of medical emergencies and illnesses, your health insurance plan is not obliged nor equipped to offer coverage for every ailment. For instance, cosmetic enhancement treatments are not covered under health policies. Your policy also does not cover you against alternative treatments like Ayurveda, Naturopathy, Unani and so on. You cannot file claims for IVF or fertility-related treatments or routine dental, hearing and vision-related treatment.
You should be hospitalised overnight to file an insurance claim
Many people feel that they cannot encash their medical policies unless they are hospitalised overnight. This however is not true. For instance, a cancer patient may need to be admitted for a day (8-10 hours) for chemotherapy. Such an individual can file a medical claim, even if she is not hospitalised overnight. Similarly, people who need surgery for tonsillitis, cataract or other ailments may also be discharged from the hospital the same day, but can file an insurance claim.
The terms of medical polices remain constant
Many people who invest in health insurance policies believe that the terms applicable at the time of buying the policy remain constant throughout. This is not true at all. Insurance providers have the right to change policy terms regularly. The terms may change with every renewal. This is why it is important to read the new terms of the policy before renewing it.
In conclusion, your health insurance policy is truly an asset that comes to your aid when you most need it. You only have to pay a small premium to receive treatment against a wide variety of illnesses and diseases. The cost of treatment is borne by the insurance company, up to the amount of sum assured.
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