What Is Health Insurance?
Health insurance is a contract where you pay premiums to an insurer, and in return, the insurer pays for covered medical expenses, such as hospitalization, surgeries, doctor’s fees, and medicines, based on your plan.
Key Features of Health Insurance
Coverage Amount (Sum Insured):
The maximum amount your insurer will pay each year for medical expenses.
Cashless Hospitalization:
Many insurers tie up with hospitals for direct payment—no out-of-pocket hassles.
Waiting Periods:
Initial period before some illnesses or pre-existing diseases are covered (usually 2–4 years).
Daycare Procedures:
Modern policies often cover treatments not requiring 24-hour hospitalization (like cataract surgery).
No-Claim Bonus (NCB):
Bonus increase in sum insured or discount in premium if you don’t make a claim in a year.
Pre and Post-Hospitalization:
Expenses incurred before and after a hospital stay are often covered.
Benefits of Health Insurance
Financial Security:
Protects your savings from large, sudden hospital bills.
Family Coverage:
Family floater plans insure multiple members under one policy.
Access to Quality Care:
Enables timely medical attention without worrying about cost.
Tax Benefits:
Premiums are eligible for tax deduction under Section 80D.
Types of Health Insurance Plans
Individual Plan:
Covers one person.
Family Floater:
Covers a whole family under one sum insured.
Senior Citizen Plan:
Special coverage for older adults, often with higher premiums.
Critical Illness Plan:
Lump sum payout for major diseases like cancer, heart attack.
Claims Process: How to Make a Claim
Cashless Claim:
Get treated at a network hospital; show your insurance card.
Hospital and insurer settle bills directly.
Reimbursement Claim:
Get treated at any hospital; pay bills yourself.
Submit all bills and documents to your insurer for reimbursement.
Tip: Always notify your insurer early and keep copies of all medical reports and bills.
Pro Tips
Buy coverage early—premiums are lower and fewer exclusions.
Choose adequate sum insured—consider medical costs in your city.
Check hospital network nearby for cashless convenience.
Renew your plan on time every year to enjoy uninterrupted coverage.
Conclusion
Health insurance gives you confidence and financial freedom to face life’s health uncertainties. Choose a solid plan, know its features, and stay prepared—the right coverage is the best medicine for peace of mind.