Mediclaim Insurance: Key features, importance and types

Health is wealth is an old adage that stands true, especially in today’s post-COVID pandemic era. In these uncertain times, the importance of health has increased even more. Taking care of your health is not only important for your own self but also for your loved ones. In some situations, an individual or family member might face certain health issues or illnesses. The hospital and treatment bills can be significantly expensive and if one is not prepared financially for it, these bills can pile up easily. An individual can avail Mediclaim policy to prepare for any medical emergency that may arise.

What is Mediclaim Insurance?

A Mediclaim policy is a health insurance policy which offers financial protection from the expenses that might arise due to a medical emergency. Mediclaim Insurance is similar to other insurance policies as the policyholder can avail several benefits covered by the policy in exchange for a premium.

A Mediclaim policy offers the feature of cashless settlement where the hospital and the insurer settle the bills directly. Alternatively, the policyholder can submit the bills to the insurance company and receive reimbursements for them.

Features of Mediclaim Insurance

Cashless Settlement:

A very convenient feature of Mediclaim policies is the cashless settlement service. In the case of hospitalization, an individual does not need to worry about making payments to the hospital if they have a Mediclaim policy. The insurer and hospital can directly settle the bills of the insured person.

Coverage:

Mediclaim policies covers the costs that may arise out of hospitalization and treatment. It does not cover any critical or severe illnesses.

Availability:

A Mediclaim policy is available for an individual and for a family as well. This way one can insure themselves and their loved ones.        

Add-ons:

Unlike health insurance, there are no add-ons available for a Mediclaim policy. Therefore, one cannot include critical illnesses cover, maternity cover, disability cover etc. in the policy.

Importance of Mediclaim Insurance

It is important for one to know the Mediclaim benefits that one can avail of through the policy.

Reduces financial burden

Medical emergencies can lead to higher medical bills. The cost of hospitalization, treatment and medicines can pile up easily and increase the financial burden of an individual. Having Mediclaim insurance can help in lessening the financial burden as the insurance company can help cover the costs of these bills.

Provides certainty

Although medical emergencies are uncertain and can strike at any time, a Mediclaim policy can help in providing some certainty in the case of such an event. Having medical insurance is important as an individual can rest assured knowing that they have a financial backup in the case of a medical emergency.

Cost-effective

Mediclaim policies are a cost-effective way to attain healthcare services and facilities. To avail Mediclaim insurance, one needs to pay a premium to the insurance company periodically. The premium amount is small and affordable and can help cover the large costs that might arise out of hospitalization or treatment.

Tax benefits

Another added benefit that medical insurance offers is the ability to avail tax benefits. Under Section 80D of the Income Tax Act, 1961, the health insurance premium paid can be deducted from the individual’s taxable income.

Types of Mediclaim Policies

Depending on an individual’s requirement, one can choose a Mediclaim policy from the various types of policies available.

Individual policy

An individual Mediclaim policy is a policy which only provides coverage and financial protection to the policyholder. Only the insured individual in the policy can receive the benefits under this type of policy.

Senior citizen policy

As individual ages, the chances of medical expenses and emergencies increase too. A senior citizen policy is available to individuals above the age of 60 and provides financial protection from any hospitalization or medical bills that may arise.

Personal accident policy

In unforeseen events or circumstances, an individual may lose their life, become incapacitated, completely or partially disabled. A personal accident policy can help in such situations by providing the necessary financial compensation to the family of the insured individual.

Family-floater policy

Taking care of your family is something every individual wishes to do. A family-floater policy is a great way to offer Mediclaim benefits to yourself as well as your family. The policyholder receives the benefits but can extend them to a family member in times of need.

In conclusion, not only is it important to take steps to lead a healthy lifestyle but also to plan for any unforeseen medical emergencies. A Mediclaim policy can be of great help to an individual and their family when a medical emergency arises.

FAQs

How does a Mediclaim policy work?

A Mediclaim policy is like health insurance. An individual can avail the benefits of the policy by periodically paying a premium amount to the insurance company. In the case of a medical emergency covered by the policy, an individual can receive financial compensation and support.

What is covered under Mediclaim?

Mediclaim policies cover the costs arising out of hospitalization, treatment, post-hospitalization care, medical bills, etc. This policy usually does not cover any critical illnesses or pre-existing health conditions.

What is the waiting period in the Mediclaim policy?

The waiting period for any health insurance is typically 30 days during which no claims are accepted.

How long after health insurance I can claim?

Unless there is an accidental case, an additional claim can be made for a duration of 30 days since the previous claim was made.

Disclaimer: ICICI Securities Ltd. (I-Sec). Registered office of I-Sec is at ICICI Securities Ltd. - ICICI Venture House, Appasaheb Marathe Marg, Prabhadevi, Mumbai - 400 025, India, Tel No : 022 - 6807 7100. The contents herein above shall not be considered as an invitation or persuasion to trade or invest. I-Sec and affiliates accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon. The contents herein above are solely for informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments or any other product. Investments in securities market are subject to market risks, read all the related documents carefully before investing. Investors should consult their financial advisers whether the product is suitable for them before taking any decision. The contents herein mentioned are solely for informational and educational purpose.