Health Insurance – Simple Overview

Health insurance is a financial protection plan that helps cover medical expenses. Instead of paying the full cost of hospital bills, treatments, surgeries, or medicines by yourself, the insurance company pays a major portion (as per the policy terms).

Why Health Insurance Is Important

· ✔ Covers hospitalization costs (planned or emergency)

· ✔ Protects your savings from large medical bills

· ✔ Provides cashless treatment at network hospitals

· ✔ Covers pre- and post-hospitalization expenses

· ✔ Offers tax benefits under Section 80D

· ✔ Provides peace of mind for you and your family

Common Types of Health Insurance

1. Individual Health Insurance – Covers one person

2. Family Floater Plan – Covers entire family under a single sum insured

3. Senior Citizen Health Plan – For 60+ age group

4. Critical Illness Policy – Lump-sum payout for major illnesses (like cancer, heart attack,etc)

5. Top-Up & Super Top-Up Plans – Extra coverage at a low cost

6. Personal Accident Insurance – Covers accidental death or disability

Key Features to Check Before Buying

· Sum Insured (₹5 lakh, ₹10 lakh, etc.)

· Network Hospitals for cashless treatment

· Waiting Periods for pre-existing diseases

· Room Rent Limits

· Co-payment Clause

· No-Claim Bonus (NCB)

· Day-care Procedures Coverage

Benefits for Policyholders in India

· You can claim cashless treatment at empanelled hospitals

· Preventive health check-ups included in many plans

· Maternity & newborn cover (in some policies)

· Tax deduction up to ₹25,000–₹75,000 depending on age & plan