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How to Enhance your Existing Health Insurance Plan?

Posted On : 06 January 2021, 3 Years Ago. Health-Insurance

As the world is fighting with the worst pandemic in history, safeguarding the health of you and your family has emerged as the topmost priority. This is why it is vital to be prepared beforehand and buy a family health insurance plan that can provide the best medical care to your loved ones in the future. However, consider this.

 

Medical inflation stood at 19.5% towards the end of 2020, as opposed to 18% in 2019.  Going by this statistic, hospitalization expenses due to a health-related emergency in the future can be a drain on your financial resources. Your existing health insurance might not be sufficient to cover increasing healthcare costs.

 

If you are thinking of purchasing a new mediclaim policy, remember that it can be expensive given your age and inflation figures. It might also require you to undergo a health check-up which can reveal any underlying medical condition. Therefore, if you are looking to upgrade health insurance, a top-up plan is an affordable option. Top-up or super top-up health insurance plans offer an inexpensive way to increase your health cover and enhance existing health insurance. 

 

What is a Top-Up Plan?

An individual health insurance plan provides reimbursement of medical bills up to the sum insured. A top-up plan comes with a threshold limit which is also known as a deductible amount that is equal to coverage provided by the basic health policy. When you add a top-up plan to your existing health insurance, healthcare costs will be covered only after the deductible is reached. It is based on the principle of cost-sharing, according to which, the deductible amount is to be borne by you as a policyholder either from your pocket or through an existing health insurance plan.

 

Therefore, a deductible is a level beyond which medical reimbursement claims can be made, and the top-up plan used to upgrade health insurance be utilized towards expenses incurred due to hospitalization. The higher the amount of the deductible, the lower the premium, making your top-up plan more cost-effective. Also, no medical check-up is required till the age of 55 years when you enhance existing health insurance with a top-up plan.

 

How Does a Top-Up Plan Work?

Suppose a policyholder buys a top-up plan with a Rs 6 lakh cover to upgrade health insurance worth Rs 2 lakh purchased earlier. The total sum assured would come to Rs 8 lakh. Now, assuming the insured person is diagnosed with a medical condition and is hospitalized, he then raises a claim amount worth Rs 2 lakh. In this case, the amount, also known as deductible, will be reimbursed from his basic health insurance.

 

However, in the second scenario where the claims are above the limit of Rs 2lakh, payment will be made from the top-up plan used to enhance existing health insurance. When buying health insurance plans, remember that the top-up plan will only come into play only when the deductible limit is reached.

 

Conclusion:

Apart from supplementing your health insurance with a top-up plan, you can also opt for added protection in the form of a critical illness cover or personal accident cover to help you navigate the unpredictability of life with ease. Choosing right health insurance in tune with the needs of your family as well as within your budget can make you feel prepared for what the future holds.

 

Take, for instance, health insurance plans from Niva Bupa that come with a cashless facility and paperless reimbursement across more than 4500 hospitals in India for your ease and convenience. Claims are processed within 30 minutes of being raised to offer swift service during a medical emergency. So, take the well-being of your family into your own hands and make sure their health is never compromised.

Secure your health with comprehensive insurance plans from Niva Bupa

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Myself Icon Individual
Wife Icon Husband & Wife
Family Icon Family
Enter valid name
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OTP sent Resend OTP
I authorize Niva Bupa to call me. This will override your existing registry in DNCR. I want to get my quote and policy details on WhatsApp.
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