While there are different types of health insurance policies available, an individual health insurance plan is one that covers a single person. These policies offer coverage against hospitalisation costs and medical bills. An individual medical insurance plan can be purchased for any person. The premium rate of individual health plans is determined by a range of factors, including the insured person’s age, gender, and health condition. Usually, people buy cashless health insurance for all members of the family, and it is called a family health insurance plan. While family plans offer certain benefits, individual health coverage outshines them in some aspects.
In this article, we will talk about individual health insurance benefits and look at why you should buy one.
Features of Individual Health Insurance Policies
Here are some salient features of an individual health insurance policy:
- Coverage – These policies offer coverage for one individual only
- Co-Payment – Many insurance companies offer co-payment facilities with individual health insurance policies
- Inclusions – Usually, individual health insurance plans offer coverage for expenses related to surgeries, hospitalisation, doctor’s fee, lab tests, etc. Some insurers also offer coverage for pre and post-hospitalization expenses.
- Ease of renewing – Most individual health insurance plans can be renewed as long as you want
- Add-on covers – You can opt for various add-on covers with an individual health insurance plan to customise it as per your needs
Benefits of Having Individual Health Insurance
Here are some significant benefits of having individual healthcare coverage:
● Protection from medical expenses
One of the most important benefits of buying an individual health insurance policy is getting financial protection against costs associated with medical treatment and hospitalisation. This allows you to focus on getting better without worrying about medical expenses.
● Cashless hospitalisation
With individual health insurance, you can avail of cashless hospitalisation where the insurance provider pays the hospital directly. This is preferred by many people since they don’t have to pay first and claim reimbursement later. However, it is important to remember that this facility is available only at the network hospitals of the insurer.
● Daily Hospitalisation Allowance
Many insurers also pay a predetermined amount to policyholders to help them manage various costs associated with hospitalisation. However, this is provided only after the policyholder has spent some days in the hospital. This can be helpful, especially when the incidental expenses are high.
● Tax Benefits
Individual health insurance policies offer tax benefits too. Under Section 80C of the Income Tax Act 1961, individuals can claim a tax deduction on the premium paid for an individual cheap health insurance policy.
Summing Up
In today’s times, a health insurance policy is not an option. With increasing costs of medical care, if you have to face a medical emergency without a health insurance policy, then the costs can burn through your savings in no time. While there are different types of health insurance plans available, it is important to consider your health insurance requirements before making a decision. Also, if you are living with a family and considering buying a family health insurance plan, then make sure that one or two members are not suffering from pre-existing illnesses, as they can utilise most of the coverage, leaving the other members stranded. In such cases, buy individual health insurance plans for all members or at least for those who have pre-existing illnesses. And do not forget to compare providers and plans before signing the dotted line. Good Luck!