Investing in your health pays off in the long run. Getting yourself insured is the best way to do that. It secures you financially to pay for unforeseen medical emergencies. Hence, you need not worry about the hospital bills if you face any health threat. Medical Insurance has you covered if you do not have any pre-existing illnesses. It compensates for future conditions leading to hospitalisation. If you want extra coverage, there are other categories.
Considering the varied medical conditions and treatments, insurers offer different types of Medical Insurance. Not understanding the differences between them makes you lose on their optimal use. So, you should check their coverages instead of treating them as standard Mediclaim Plans.
The same applies to Critical Illness Health Insurance. It covers several illnesses and life-threatening diseases. Let us understand what it entails:
Suitability
Health Insurance is apt for anyone seeking financial protection for their health. It does not necessarily require you to have any pre-existing condition. Meanwhile, not having major health complications positively reflects the premium cost. But Critical Illness cover is ideal if you risk getting diagnosed with a major illness. You may take it as an additional cover or club it with basic Healthcare Plans.
Basics
The actual purpose of the Critical Illness Plan goes beyond Health Insurance. The latter covers the basic expenses related to hospitalisation, room rent, ambulance charges, and medications. The reimbursed amount is only up to the actual costs incurred. A Critical Illness Plan, on the other hand, covers specific surgical procedures or life-threatening ailments.
Terms
Insurance Policies generally come with a validity of one year. Under an essential Healthcare Plan, you can auto-renew. However, when it comes to the Critical Illness Policy, it is a long-term plan lasting up to 20 years. As for the coverage, it poses limitations compared to a Medical Insurance Plan. The cap limit is 75 years. The cost and terms also vary accordingly.
Waiting period
Every Medical Insurance Policy comes with a waiting period. But the duration differs based on the plan selected. For a basic plan, the term is 30 days, except for accident-related cases. Besides, pre-existing ailments get covered after one to four years of continuous coverage. In the case of Critical Illness Health Insurance, the waiting period is 180 days. However, you get no coverage if diagnosed.
Cost
Lifestyle habits change as you progress in life. This affects your medical conditions. Hence, even if you buy the Healthcare Policy at a young age, the premium keeps changing upon renewal. This is because insurers consider your age and medical complications. But with a Critical Illness Plan, the premium remains the same throughout your life.
However, the insurer may revise the cost based on their terms and your claim record. Check this aspect carefully to estimate cost and make an informed decision to choose a suitable policy.
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