Top Reasons to Purchase High-Value Health Insurance

Posted on: Jul 5, 2024 | 3 mins | Written by: HDFC ERGO Team

Top Reasons to Purchase High-Value Health Insurance

Healthcare costs are increasing rapidly and creating significant financial woes for those who are not prepared for it. While a regular health insurance plan can cover your medical bills, it may not be adequate for expensive hospitalisations. This is when buying a high-value health insurance policy can help. As the name suggests, a high-value health plan has a high sum insured of up to 1 crore. The policy can come in handy during expensive medical procedures and save you from exhausting your savings. Let’s talk about the benefits of a high-value health insurance policy in detail.

What is high-value health insurance?

High-value health insurance is a comprehensive insurance policy with a high sum insured of up to 1 crore. From hospital bills and home healthcare to daycare procedures and alternative treatments, this health plan covers them all. Moreover, a high-value health insurance policy covers organ transplant expenses, critical illnesses, and advanced treatments. The policy is ideal for covering long-term and expensive treatments.

While the policy offers many benefits, the main drawback is the high premiums. The higher the sum insured you choose, the higher the premium amount. Therefore, it is wise to opt for this insurance product only if you can pay premiums on time and keep the policy active for a long time.

Benefits of a high-value health insurance policy

A high-value health insurance policy offers the following benefits to policyholders —

1. Wide coverage:

A high-value health insurance policy covers a host of medical expenses, such as hospital bills, pre- and post-hospitalisation expenses, home healthcare, daycare procedures, road ambulance charges, organ donor expenses, AYUSH treatments, and more. Therefore, covering yourself and your loved ones under this insurance product will prevent financial setbacks during medical emergencies.

2. Coverage for critical illnesses:

The policy covers critical illnesses or life-threatening conditions as well. These include heart disease, cancer, kidney conditions, multiple sclerosis, Parkinson’s disease, Alzheimer’s, and more. These health issues may require long-term treatment, and the expenses can easily burn a hole in your pocket. Therefore, having a health plan that covers critical illnesses will ease your worries if you get diagnosed with a life-threatening condition covered under your policy. It will also save you from the hassles of buying a separate critical illness insurance cover.

3. No sub-limits:

The sub-limit is a pre-decided capping applied on certain medical expenses by the insurance provider. While these sub-limits reduce the burden of insurance companies during health insurance claims, they increase the out-of-pocket expenses of policyholders. For example, a regular health insurance policy may have sub-limits on hospital room rent, road ambulance charges, and certain medical treatments, such as cataract surgery, retina correction, and dental treatment.

The insurance companies in India offer high-value health insurance without sub-limits or caps on specific medical expenses. Therefore, if you have this insurance product, you will not have to worry about paying a part of your medical bills from your pocket.

4. Covers medical treatments overseas:

A high-value health insurance policy covers medical treatments within India as well as overseas. If you have this health plan, you can opt for quality treatment in any country around the world. However, some insurance providers exclude treatments in certain countries, so remember to check the same in the policy documents.

Who requires high-value health insurance?

While a high-value health insurance policy can benefit anyone, it is particularly important for the following —

1. Family history of critical illnesses:

A high-value healthcare plan covers a range of health conditions and medical procedures, including critical illnesses. Therefore, if there is a family history of critical illnesses, having this insurance product handy can ensure peace of mind. In case you get diagnosed with a life-threatening condition covered under the policy, you can opt for timely treatment in India or overseas without worrying about the bills.

2. Medical treatment in another country:

If you travel to foreign countries often or spend a few months overseas every year, having a high-value health insurance policy can help you meet emergency medical expenses. This is particularly important as any medical procedure in a foreign country can be quite expensive. A high-value health plan can also help when you are in India but want to opt for quality treatment in another country.

3. Senior citizens:

Health issues increase with age, and so do healthcare expenses. Therefore, having this health plan can help senior citizens opt for quality and timely treatment without exhausting their savings or retirement funds. However, a high-value health plan will have a higher co-pay for senior citizens. So, make sure you check the same at the time of policy purchase.

Conclusion

A high-value health insurance policy is an important insurance product that can cover expensive medical procedures and long-term treatments. While the policy offers comprehensive coverage and a host of benefits, it comes with high premiums. Therefore, it is important to consider your health insurance needs, net worth, and savings before opting for this insurance product.

Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.

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