Many of us believe that only a health insurance plan is enough to deal with any health issues that may occur in the future. But there is an important print which we often forget to read. It is something that a comprehensive health insurance plan does not cover- the critical illnesses. For an insurance company, these two plans are entirely different. Some companies provide riders for critical diseases, but they are limited to certain diseases, and you should opt for them only if you have a family history of the conditions covered in the riders. Otherwise, as an individual, you should consider buying both.
Basic features and coverage
To understand the concepts behind both insurance plans, we need to know what they cover and what insurance company will not pay for. Health insurance will cover the cost of OPD expenses, medical bills, doctor’s fees, medicines, hospitalization, and recovery cost. However, it will not cover the critical diseases, and the wait time is longer in such policies. On the other hand, critical illness policies cover diseases like kidney failure, cancer, bypass surgery, and more.
When you get diagnosed with any of the diseases covered under your critical illness insurance, you will get the cover amount almost immediately. Please note that Critical Illness Insurance may not cover surgeries required after an accident. Such surgeries are, however, covered under the health insurance policy. The critical insurance policy may cover 6 to 12 critical illnesses, and based on the Terms and Conditions; some policies may provide cover even if you are not in the country. These policies may also cover the loss of pay.
Some of the critical illness insurance benefits you can’t ignore
Under a health insurance policy, you will get the reimbursement of hospitalization, doctor’s bill, OPD charges, and more. If you get the treatment in the approved list of hospitals, you can also avail cashless facility where the hospital bills will be paid by the insurance company directly. In most cases, the insurance policy continues even after you make a claim, and you can renew it the nest year. The only point you should remember here is that you won’t be eligible for No Claim Bonus for the next year.
The critical illness plan provides a tax-free lump sum amount once you are diagnosed with any of the critical illnesses listed in the documentation. You do not have to give the original bills either. You are not obliged to give detail where you have used the sum. Once you have made a claim, the policy will expire.
Comparing the waiting period
In case of the health insurance policies, the waiting period before you can make any claim is 30 days. If you have any pre-existing ailments, the waiting period to get support for those ailments can vary from 1 year to 4 years, depending on the company’s policies. On the other hand, the waiting period for critical illness is generally for three months.
Sum assured
In the case of health insurance policies, there is a cap on the sum confirmed that is 5 lakh. Some companies offer claims up to 10 lakh under individual plans. In the case of a critical illness insurance plan, the sum assured can vary from 5 lakh to 50 lakh, depending on the documentation.
Health insurance policy and critical illness insurance are both important
In today’s time, the medical expenses are on the rise. Every year the medicines become more and more expensive, and you might have noticed the increase in the doctor’s fees as well. Meeting these requirements is not everyone’s cup of tea. The health insurance policy provides you the financial support that you may need in case of an accident, illness, and more. In case you need to get admitted to a hospital, you will get cover for the room charges, doctor’s bills, medicine, aftercare, and more.
However, it will not cove the critical illness, which is why you should opt for additional critical illness insurance. Such policies will cover up to 12 critical illnesses like kidney failure etc. and will provide you a lump sum to cover the expenses. Opting for just one of them will not solve the need for financial support you are looking for in case of a medical emergency in the future.