Yes, health insurance does cover hospital charges, but there is so much more left unsaid. In fact many Indians do not go for a renewal, principally due to their ignorance of its larger benefits. Given that volume of cover plans have grown by more than 10 folds in the decade ending in 2010, the insurance penetration is extremely low. For instance, as of 2010, over 83.3% of the Americans are covered by health insurance plans compared to 5.51% of the Indians.
The Benefits at a Larger Perspective
Apart from medical bills, a traditional plan will typically give you many of the following features.
- Financial Security: You might have other commitments within the family like, children’s education, marriage and your own retirement. A cover such as this will ensure that you do not have to liquidate your saving while meeting unforeseen medical expenses.
- No Claim Bonus: Companies offer something called a cumulative bonus, where for every year without claim, the sum insured is increased during renewal, by a certain percentage as prescribed by the insurer company. Here, insured sum can relate both to individual covers and comprehensive family plans.
- Cashless Facility: While policies are generally known to provide for expenses reimbursement in the form of claim, few companies have tie up with certain hospitals, called network hospitals, where by producing your policy document you are eligible for cashless treatment up to the prescribe limit. A list is usually attached to the cover document or can even be found on the website, and is constantly updated.
- General Hospital Expenses:Health insurance policies generally cover both pre and post hospitalisation expenses as well, apart from the treatment and operation costs. This includes:
- Room charges and boarding expenses.
- Fees payable to the physician, consultants, operating surgeon, anesthetist and other specialists.
- Nursing expenses and nurse charges.
- Cost incurred for blood, oxygen and anesthesia. It may also go on to cover operation theatre and surgical appliances charges; medicines and drugs used and other similar overheads like dietary food and supplements given.
- Peace of mind: With health insurance coverage, you no not need to worry about the risk of unexpected health diagnoses and you can always be rest assured about your capacity to tackle the bills when the time comes.