Health insurance covers medical expenses arising from different types of illness or accidents. Several expenses like hospital bills, medicines costs, and doctor fees are covered by health insurance.
Types of Health Insurance
Now that you know what health insurance is, let's dig into its different types:
- Mediclaim Plans
These are the most basic types of health insurance policies. They help cover the cost of treatment while you are at the hospital. Hospital bills must be submitted to receive the payout on incurred expenses at the hospital. Mediclaim plans usually cover all family members to a certain extent.
- Critical Illness Insurance Plans
Some health insurance plans are meant to cover life-threatening diseases. The diseases might require prolonged treatment, lasting throughout the policyholder's lifetime. The payout made in case of critical illness plans does not include only hospitalization charges.
The best health insurance in India will allow you to choose a critical illness cover as per your needs. A critical illness cover comes with the flexibility of using the cash for pre and post-hospitalization charges and more. It will cover everything from medical tests to follow-up visits with the doctor.
A critical illness cover can also serve as a substitute for your income. If you lose your job or need to be on rest for a certain period, a critical illness cover will come to your rescue. The payouts under critical illness policies are based on disease diagnosis.
What Is Travel Insurance?
The purpose of travel insurance is to offer short-time coverage for a holiday, business trip, or other short visits. A travel insurance policy will cover any emergency medical issues during the trip. But travel insurance will only cover emergency medical conditions that take place during the trip.
For instance, you fell during your trip and broke your leg. A travel insurance plan will cover the medical expenses for your broken leg. But maybe, you have been plagued by knee issues for a long time.
You might have to undergo knee replacement surgery while you are on the trip. But travel insurance won't cover the expenses for the knee replacement surgery. Since the issues started before you went on a vacation, the travel insurance policy won't be applicable here.
Apart from medical expense coverage, travel insurance policies are also beneficial for the following issues:
- Misplaced luggage
- Lost personal items
- Flight or hotel cancellations at the last minute
Crucial Thing to Know About Travel Insurance
Even the best travel insurance policy will cover you for a particular area. For instance, you have travel insurance in Spain. It means that you will be eligible for travel insurance only in Spain.
Travel insurance offers only basic coverage. The idea behind travel insurance is to make the policyholder better enough to return to their country. Since your health insurance won't be valid when you visit a different country, invest in a travel insurance plan before your trip.
How to Choose the Best Insurance Provider
Choosing the right insurance company is a necessity whether you need a travel or health insurance policy. A few tricks to find the best insurance provider in India are as follows:
- Compare the policy charges of different providers to find the best rates.
- Go for an insurance company with good reviews from customers.
- Check the claim settlement ratio of the company from the IRDA website.
- Examine the different plans and ask relevant questions to find their suitability for you.
You must get a travel insurance plan when you are going for a short trip. It will protect you from financial burden in case of a medical emergency or other issues like misplaced baggage. Travel insurance usually remains valid for up to 6 months.
If you plan to shift to a different location for a prolonged period, you must invest in a health insurance policy. A health insurance policy will offer comprehensive coverage for different medical conditions or critical accidents.