The only way that can protect from medical finances is to take health insurance benefits. It is an important and cost-effective approach to save money. While taking health insurance you need to be very careful to take the right policy. For this, you should be aware of a different kind of health insurance. There are basically two types of health insurance:
- Indemnity plan
- Defined benefit plan
Indemnity health Insurance: It is the most common type of health insurance that covers all the hospital expenses of a borrower up to the sum insured. The indemnity plan involves:
- Mediclaim insurance: This insurance helps the beneficiary by paying hospital expenses due to the occurrence of illness, doctor’s consultation charges, or accidental stay. Medical insurance involves nursing charges, oxygen, anaesthesia, etc.
- Group Mediclaim: The group mediclaim is famous among the large or small organizations taken by the employers for their employees. In most the organizations this health insurance policy has become a mandate. The employee health insurance singapore is the best example for us where it is necessary to take a policy for each employee even if he is an ex-pat.
- Individual Insurance: This insurance policy is designed for an individual only. In an individual policy, a beneficiary is permitted to get the hospital expenses. A beneficiary can claim the amount up to the basic policy amount.
- Family Floater plan: This is the best plan for taking the health insurance policy for your family. This single policy covers the insurance of all family members. The equal division of insurance coverage between all family members is done under this insurance policy. Family floater plan is beneficial for the people in a way that amounts to be paid as instalments are less than individual or mediclaim policies.
- Unit linked health insurance: This kind of insurance plan acts as both insurance and investment. They are commonly called as ULIPs. In the ULIP plan, a part of paid premiums are invested in the stock market and the beneficiary is offered with coverage of insurance.
Defined Benefit Plan: Under defined benefit plan a policy holder gets the amount after detection of illness. This health insurance policy involves:
- Critical illness plan: This plan is designed for some critical diseases like cancer, organ transplant, paralysis, etc.
- Hospital daily cash: In this policy beneficiary will get the daily cash amount at a certain limit.
- Personal accident plan: This policy is designed for any accidental injury or death. In the case of death, their family get the insurance amount.
Conclusion: There are many kinds of health insurance policies in the market given by different insurance companies. You should first compare the policies on different sites and then choose the one that suits your need.