How Mediclaim Differs from A Health Insurance Policy?

Both Mediclaim and health insurance policy or critical illness insurance plans refers to emergencies related to ones health. But the health insurance plans offer better benefits as compared to a Mediclaim policy.

If you have a Mediclaim policy and think that it is the same as having a healthcare insurance critical illness insurance plans, then look into it deeper. This is a common mistake that most of the first time insurance buyers tend to do.

What Is Mediclaim Policy

The Mediclaim policy covers the hospitalization and treatment costs that one has to bear towards a disease or an illness that is predetermined. The premium of the policy has to be paid annually and the premium amount is decided based on what the sum assured amount of the policy is.

Does Mediclaim Allow For Cashless Settlement Facility?

Yes you can avail the cashless facility even with a Mediclaim policy provided you are getting treated in one of the partner hospitals. If the hospital is a non-partner then you will have to show the bills at the time of settlement. This is however similar to claiming when you have a health insurance too.

How Is The Mediclaim Policy Different From The Health Insurance ?

The health insurance policy as well as the Mediclaim policy covers the hospitalization expenses but the health insurance offers a more comprehensive coverage. The health insurance coverage plan that they offer is also very extensive. You can also enjoy additional benefits when you take a health insurance policy like ambulance services or if there is a loss of your income when you are sick.

Tenure Of The Mediclaim And The Health Insurance Policies Critical Illness Insurance Plans

The Mediclaim policy falls under the category of a general insurance policy and this policy has to be renewed annually. The health insurance policy on the other hand is offered for more number of years. The premium amount of the Mediclaim policy can change each year but that of the health insurance policy stays the same.

Is Critical Illness Covered Under A Mediclaim Policy?

No, critical illness is not covered under a Mediclaim policy. The sum assure of a Mediclaim policy is lower and mostly limited to 5 lakhs. This means that critical illness coverage cannot be provided by these policies because of the high expense that it incurs. Those who have a health insurance can take a critical illness rider. A health insurance plan critical illness insurance plans also offers the choice of a higher sum assured say around 30 lakhs.

Claiming Process Under A Mediclaim And A Health Insurance Plan

If you have a Mediclaim policy then you can make any number of claims till the complete sum assured amount is used up. However when you want to claim under the health insurance critical illness insurance plans then the insurance company transfers the complete amount in one go. Thus you cannot keep claiming till the policy tenure ends.

Is Mediclaim Or Health Insurance Policy Better?

This is a personal choice. A number of people buy a Mediclaim policy, benefits of Mediclaim policy because of the lower premium amount. This is a mistake as per the experts but again it is better to have some coverage than no coverage at all.

Health insurance critical illness insurance plans offer comprehensive coverage and it gives the policyholder a number of benefits. But if you think that you cannot afford a health insurance then you are better off with a Mediclaim policy.

However if you have Mediclaim policy then you could also a buy a health insurance critical illness insurance plans. This means that you can use up the Mediclaim policy for any minor hospitalization and use the health insurance amount to settle a huge medical bill.

Which Policy Should You Buy For Your Health Expenses – Mediclaim Or Health Insurance?

If you are still confused between which policy is the most suited for you, then decide based on the following points:

Health Insurance Plans

• • This is a comprehensive policy which means that it does not just pay for your hospitalization but also the post hospitalization expenses
  • The policy covers critical illness as well. The critical illness is a rider and has to be purchased as an add on to the original health insurance policy
  • What critical illness is covered is based on the insurance companies discretion .So it is important that you read it once before buying the a rider
  • You may be eligible for discounts when you go for a renewal

Mediclaim Policy

• • The Mediclaim policy provides only hospitalization expense coverage and in case of an accident or any specific illness
  • The policy will not cover any other hospitalization charges or offer any critical illness cover

Conclusion- 

It is important that you understand the pros and cons and the difference between Mediclaim and health insurance before buying a Mediclaim or health insurance plan . The only reason why one may buy a Mediclaim policy is because it is priced cheaper. But also understand that the coverage is less in the case of a Mediclaim policy.

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