By paying an additional price at the time of purchase, you can choose to incorporate add-ons in your health insurance plans as optional features. The majority of people prefer health insurance add-ons since they are an affordable way to improve benefits or the amount insured in case of medical emergencies that may occur.
The Insurance Regulatory and Development Authority of India (IRDAI) stipulates that the total cost of all add-ons and riders purchased for a specific health insurance policy cannot exceed 30% of the initial price. #
Requirement of Health Insurance Add-on covers helps bring benefits of health insurance and have a variety of applications that can help you achieve your goals. The following are the methods described:
- Paying off Debts: The benefits of a health insurance rider are utilised to settle debts as well as cover medical expenses.
- Covering Funeral Costs: This add-on coverage has lately been added by insurance firms that offer individual accident insurance and health insurance.
- Pay for Child’s Education: If your claim is accepted, many add-on insurance policies will give you a lump sum payout
Types of health insurance add-on Covers
There are a variety of add-on covers available on the market to meet the various needs of the policyholders. Each of these add-on covers is useful in its own way giving you more than the general sum insured. *
- Critical illness cover – When a covered critical illness, such as cancer, a stroke, kidney failure, or any other, is diagnosed, the health insurance company under this add-on cover pays the policyholder a lump-sum sum of money, regardless of how much the total cost of treatment will be.
- Personal accident cover – The personal accident insurance add-on protects the insured against inadvertent damages. This add-on pays benefits if an accident renders you permanently, partially, temporarily, or fatally incapacitated.
- Room rent waiver: This add-on cover helps to increase the hospital room rent cap or ensures that there are no restrictions. By purchasing the room rent waiver add-on, policyholders might opt to stay in a better hospital room.
- Hospital cash cover – With these add-on health insurance plans, the insured is given a daily cash sum for the duration of their hospital stay. To qualify for the allowance, the hospitalisation period must last more than 24 hours or one day.
- Maternity Cover – The costs associated with pregnancy and childbirth are covered by the maternity cover add-on cover.
- Global Coverage – If received at a network hospital, treatments received outside of India, even if received cashlessly, are covered under this add-on plan.
- International second opinion – This add-on benefit covers costs associated with seeking advice from foreign medical professionals.
- Air Ambulance – The air ambulance add-on coverage covers any further medical care that the insured may need. If the therapy is not in the covered person’s city, this supplemental insurance works well.
- OPD Care – The cost of OPD visits, diagnostics, and medicines is covered by the OPD Care add-on insurance. Remember that the policyholder must make a reimbursement claim in order to be eligible for this extra benefit.
- Zone Upgrade: The insured may be eligible for additional financial assistance depending on the zone they are seeking treatment in with this add-on.
- AYUSH Treatment – The insured is given reimbursement for costs associated with alternative treatment methods under the AYUSH health insurance treatment add-on plan (Ayurveda, Yoga, Unani, Siddha, and Homeopathy).
- Unlimited Sum Recharge – With this add-on insurance option, the entire amount insured is reinstated and made available for potential future medical costs.
- Reduction in PED Waiting Period – This add-on cover is useful in shortening the pre-existing illness waiting period.
* Standard T&C Apply
** Currently, there are 2 tax regimes in India – new and old. To get the tax benefit you desire, choose the correct one after consulting an expert. You can opt for a regime change during the next financial year.
# Visit the official website of IRDAI for further details.
## All savings are provided by the insurer as per the IRDAI-approved insurance plan. Standard T&C apply
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