[ad_1]
The demand for health insurance has increased post coronavirus outbreak. People have become far more aware of buying an adequate health insurance cover for themselves and their families amid the pandemic Covid19. Increasing your health insurance cover will also increase your premiums. But if you choose wisely, you can enhance your health insurance cover without breaking the bank. A Super Top-Up Plan, offered by almost every health insurance company is an effective solution to ensure the cushion of ample cover at a reasonable cost.
A Super Top-Up plan is an additional health cover which offers you protection above the chosen deductible limit. It pays the medical bills over and above the pre-defined deductible amount.
What is a deductible?
Deductible is a fixed amount paid out-of-pocket by the insured or by his existing regular health insurance cover, for the medical expenses before a super top-up plan gets active and pays the rest of the expenses. The insurance company will provide you a few options to choose as deductible.
Suppose, a person has a Super Top-Up plan from a health insurance company worth ₹3 lakh, with a deductible of ₹5 lakh. Here’s how the Super Top-Up plan will work in case multiple claims arise during a year
Claim 1 ₹1.20 lakh
Claim 2 ₹3 lakh
Claim 3 ₹2.20 lakh
In the above case, super top-up plan will not come into picture during the first two claims. It will become active only during the third claim as the threshold or deductible of ₹5 lakh during a policy year has been breached.
At the time of third claim, the Super Top-Up plan will pay the sum of ₹1.40 lakh. The initial expense of ₹5 lakh, which is the amount set as deductible, can either be paid out of the pocket by the insured or by his regular health insurance policy.
Super Top-Up Plan is economical boost to health insurance
Here’s a comparison of premiums. ₹10 lakh health cover under HDFC ERGO Health Suraksha plan, a regular health insurance policy costs ₹11,768 for one policy year.
However instead of a single regular ₹10 lakh cover, if we go for a combination of ₹5 lakh regular cover under HDFC ERGO Health Suraksha Plan and a super top-up cover worth ₹5 lakh with the same insurer, the premium for one policy year would be ₹9,138+ ₹770 = ₹9,908. This provides you a total savings of ₹1,860 per year or a savings of over 15% of the premium amount per year.
The health insurance policy cited above has only been used for illustrative purposes. It should not be assumed as a recommendation.
Policy premiums are before taxes for a healthy 30 years old individual.
[ad_2]
Source link