20 Lakh Health Insurance
20 Lakh Health Insurance
As we enter the era of life-threatening illnesses, it is critical that we safeguard ourselves and our families. At these critical times, health insurance protects our financial health as a vaccine.
India's double-digit medical inflation rate makes it essential to have adequate health insurance coverage. A health cover of up to ₹20 lakhs can provide significant financial protection in medical emergencies, especially if your family has a history of critical illness.
While a lower sum insured of ₹5 lakhs to 10 lakhs may suffice for an individual, more is needed to cover the medical expenses of an entire family. In some cases, one family member may get hospitalised multiple times a year, or there may be instances where other members also require hospitalisation during the same policy year, especially during the ongoing COVID-19 pandemic.
Moreover, the costs of treating critical illnesses are skyrocketing, and more than a lower sum insured may be needed to cover the entire medical expenses. In such cases, a higher sum insured (such as a 20 lakh health insurance plan) can provide financial protection and help cater to post-hospitalisation expenses.
There are benefits of health insurance with a 20 lakhs sum insured plan since It provides peace of mind and adequate coverage in case of unexpected medical emergencies or accidents. It is essential to assess your family's healthcare needs and opt for a medical insurance plan that offers comprehensive coverage with a higher sum insured.
As a prominent player in the Indian insurance industry for over 20 years, Tata AIG is responsible for providing clear and concise information to its customers about its 20 lakhs medical insurance policy. This post aims to provide detailed and in-depth information about the 20 lakh mediclaim policy, including its coverage and benefits. Continue reading to learn more.
What Exactly Is a 20 Lakh Mediclaim Plan?
A 20 Lakh Mediclaim Plan is a type of health insurance policy that provides coverage for medical expenses up to the sum insured amount of 20 lakh rupees. It is a comprehensive health insurance policy that covers hospitalisation expenses, including room rent, doctor's fees, ICU charges, and surgery costs. The policy also covers pre and post-hospitalisation expenses, such as diagnostic tests, medicines, and consultation fees.
The policy covers a range of medical expenses, including organ donor expenses, daycare treatments, and alternative treatments like AYUSH. A 20 Lakh Mediclaim Plan can provide significant financial protection in case of unexpected medical emergencies or accidents. It can cover the high costs of medical treatment, including critical illnesses, and provide peace of mind knowing that you and your family are protected.
Note: It is essential to assess your healthcare needs and opt for a health insurance policy that provides comprehensive coverage with a 20 lakhs sum insured.
Perks of Having a 20 Lakh Medical Insurance Policy
A 20 Lakh Medical Insurance Policy can provide several benefits and perks. Here are some of them:
Adequate Coverage: A 20 lakh medical insurance policy can provide significant financial protection in case of sudden illness or accident. It offers decent coverage for medical expenses, including hospitalisation expenses, room rent, doctor's fees, ICU charges, and surgery costs. The policy also covers pre and post-hospitalisation expenses, such as diagnostic tests, medicines, and consultation fees. In today's fast-paced life, where medical costs are skyrocketing, having a 20 lakh medical insurance policy can be a smart financial move.
Cost Savings: Medical treatments can be costly, especially for critical illnesses or accidents that require prolonged hospitalisation or specialised treatments. A 20 lakh medical insurance policy can offset some of these costs, providing significant savings for the policyholder. With a 20 lakh medical insurance policy, the policyholder can be assured of coverage for hospitalisation expenses, including room rent, doctor's fees, ICU charges, and surgery costs.
Cashless Treatment: Many insurance companies provide cashless treatment facilities to their policyholders, which is a significant advantage of having a medical insurance policy. With cashless treatment, the policyholder can avail of medical treatment at network hospitals without paying any cash upfront. Under this facility, the policyholder can get admitted to any network hospital, and the insurance company settles the hospital bills directly with the hospital.
Tax Benefits: Another advantage that comes with paying for a 20 lac health insurance premium is the tax benefits it provides to the policyholder. Under Section 80D of the Income Tax Act, policyholders can claim tax deductions on the premium paid towards their health insurance policy.
The tax deduction a policyholder can claim depends on the insured person's age and the premium paid. For individuals below the age of 60 years, a maximum tax deduction of up to ₹25,000 is available on the premium paid for self, spouse, and dependent children. An extra deduction of up to ₹25,000 is available on the premium paid for parents.
For senior citizens, i.e., individuals aged 60 years or above, the maximum tax deduction available is ₹50,000, which includes the premium paid for the self, spouse and dependent children, and an additional ₹50,000 for a separate policy for dependent parents.
Mental Satisfaction: Having adequate medical insurance coverage can provide significant peace of mind and reduce stress for policyholders and their families. Medical emergencies can be highly stressful, and the financial burden of medical treatment can further exacerbate the situation.
With a 20 lakh medical insurance policy, policyholders can focus on their recovery and well-being without worrying about the financial costs of medical treatment. They can seek medical care from the best doctors and hospitals without worrying about expenses, as their insurance covers most medical expenses.
The Mathematics behind Purchasing a 20 Lakh Health Insurance Plan
When it comes to purchasing a 20 lakh health insurance plan, the mathematics behind it is pretty simple. The critical consideration is calculating the premium for the 20 lakh mediclaim policy and evaluating whether it is within your budget.
The premium payable for a health insurance plan depends on several factors, including the policyholder's age, medical history, lifestyle habits, and the sum insured. Generally, the higher the sum insured, the higher the premium payable.
For instance, if you are a 30-year-old non-smoker and want to buy a 20 lakh health insurance plan, the premium payable can range from ₹7,000 to ₹12,000 per annum, depending on the insurer and the policy features.
On the other hand, if you are a 45-year-old non-smoker and want to buy the same 20 lakh health insurance plan, the premium payable can range from ₹13,000 to ₹23,000 per annum, depending on the insurer and policy features. In addition to the premium payable, it is essential to evaluate the coverage features of the health insurance plan, including network hospitals, co-payment, sub-limits, and exclusions, among others. It's also crucial to factor in inflation and the rising cost of medical treatment while evaluating the sum insured.
Reasons to Go for 20 Lakh Health Insurance in India
There are several compelling reasons why a 20 lakh health insurance plan is a good investment for individuals in India. Some of these reasons are:
Rising Healthcare Costs: The cost of medical treatment in India is increasing rapidly, and hospitalisation expenses can quickly accumulate. With a 20 lakh health insurance plan, you can get coverage for hospitalisation expenses, doctor's fees, and other medical costs.
Comprehensive Coverage: A 20 lakh health insurance plan can offer comprehensive coverage for various medical procedures, including surgeries, diagnostic tests, and ambulance charges. It means that the policyholder can avail of medical treatment without worrying about the high costs associated with these procedures.
Financial Security: Medical emergencies can occur unexpectedly, and they can also put a significant strain on your finances. A 20 lakh health insurance plan can provide financial security and ensure you receive quality medical care without worrying about costs. It can be vital for individuals or families who may not have significant savings or income to cover unexpected medical expenses.
Pre-Existing Medical Conditions: If you have any pre-existing medical conditions, such as diabetes or hypertension, a 20 lakh health insurance plan can cover medical expenses related to those conditions. It can be particularly beneficial as pre-existing conditions may not be covered under a regular health insurance plan or may have a waiting period before coverage.
Things Included and Not included under a 20 Lakh Health Insurance Plan
A 20 lakh health insurance plan can offer comprehensive medical procedures and expense coverage. Some of the things that are typically included in such a plan are:
- Hospitalisation expenses
- Room rent charges
- Doctor's fees and consultation charges
- Diagnostic tests, including X-rays, MRI, and CT scans
- Surgical expenses
- Ambulance charges
- Pre and post-hospitalisation expenses
- Organ donor expenses
- Maternity and newborn baby expenses (if included in the plan)
- Alternative treatments like AYUSH (if included in the plan)
On the other hand, some of the things that may not be included in a 20 lakh health insurance plan are:
- Expenses related to self-inflicted injuries or attempted suicide
- Cosmetic or aesthetic treatments that are not medically necessary
- Treatment for substance abuse or alcoholism
- Treatments for congenital diseases or pre-existing medical conditions that are not covered under the policy
- Experimental or unproven treatments
- Non-medical expenses, such as phone bills or transportation costs
Note: It's essential to carefully review the policy documents and understand the coverage provided before purchasing a health insurance plan.
Who Requires a 20 Lakh Medical Insurance Policy?
A 20 lakh medical insurance policy may be suitable for individuals or families looking for higher coverage for their medical expenses.
It can be particularly beneficial for individuals with a history of chronic illnesses or those at a higher risk of developing them. It can also be helpful for those who have a family history of medical conditions that may require expensive treatments, such as cancer or heart disease.
Individuals who have multiple dependents or are their family's sole earners may also consider a 20 lakh medical insurance policy to ensure their loved ones are adequately covered in a medical emergency.
Additionally, those who can afford the 20 lakhs medical insurance premium and want peace of mind regarding their medical expenses can also opt for it.
Moreover, individuals with a high risk of developing medical conditions, such as those with a sedentary lifestyle, smokers, or those working in hazardous environments, may also require a 20 lakh mediclaim policy to cover their medical expenses.
How Does the 20 Lakh Health Insurance Plan Work?
A 20 lakh health insurance plan functions similarly to any other health insurance plan. Below are the fundamental steps of how a 20 lakh health insurance plan works:
- First, you would need to purchase a 20 lakh health insurance plan. It can typically be done online or through an insurance agent. The policy is usually issued for one year and needs to be renewed annually to continue coverage.
- You can claim your medical expenses if you require medical treatment or hospitalisation within the policy period. The insurance company will first evaluate if the treatment falls under your health plan's coverage.
- Once the insurer confirms that the medical treatment sought by the insured is covered under the health plan, the next step is to determine whether the hospital where the insured is receiving treatment is in the insurer's network.
- You're eligible for cashless hospitalisation if you opt for treatment at a network hospital. The insurer (directly) or an empanelled Third Party Administrators (TPAs) will be responsible for settling the hospitalisation expenses directly with the hospital.
- If you choose a non-network hospital for treatment, you must pay the hospital upfront. You should collect all your medical bills, including pre and post-hospitalisation expenses. You can then file these bills with your insurer for reimbursement.
- The TPA will evaluate your policy provisions, deductibles, and co-pays and compute the total amount to be paid after considering any amounts that exceed your insurance coverage. The insurance company will directly reimburse you for the balance or the full payment of your invoices, whichever is applicable.
- Once you have purchased your 20 lakh health insurance plan, the coverage is valid for the policy year, after which it must be renewed annually. If you require hospitalisation during the policy year, you can file a claim for your medical expenses. The insurer will assess whether the treatment you seek is covered under the health plan.
Factors Influencing the 20 Lakh Health Insurance Premium
The health insurance premium for a 20 lakh plan can be influenced by several factors, including:
- Age: Older individuals are typically charged higher premiums as they are more prone to health issues.
- Medical history: The premium may be higher if you have a pre-existing medical condition or health problems.
- Lifestyle habits: If you smoke or drink, the premium may be higher as these habits increase the risk of health problems.
- Coverage: The extent of coverage you opt for will also affect the premium. A higher sum insured will result in a higher premium.
- Location: Medical treatment costs vary across different cities and regions, and the premium may vary accordingly.
- Deductibles: Choosing a higher deductible can lower the premium amount as it means you are willing to pay a higher portion of the medical expenses.
- Co-payment: Opting for a co-payment clause in the policy can also lower the premium as you agree to pay a percentage of the medical expenses.
How to Pick the Perfect 20 Lakh Health Insurance Plan?
Picking the right 20 lakh health insurance plan can be a daunting task, but there are several factors to consider that can help you make an informed decision:
- Suitable Coverage: When choosing a 20 Lakh health insurance plan, it is essential to consider your individual needs and preferences. Firstly, you must ensure that the plan covers various medical expenses, including hospitalisation costs, doctor consultations, diagnostic tests, and medical procedures. It would help if you also looked for additional benefits such as daycare expenses, ambulance charges, and pre and post-hospitalisation expenses.
- Type of Plan: Individual health insurance policies may be feasible for single individuals without family responsibilities, but if you want to ensure that your entire family is covered, a family health plan is a better option. With a family health plan, you can include your spouse, children, and dependent parents or in-laws in the policy. It offers comprehensive coverage to your family and provides cost savings as the premium for a family health plan is typically lower than purchasing individual policies for each family member.
- Claim Settlement Ratio: When purchasing health insurance, it's crucial to consider the insurer's claim settlement ratio. The claim settlement ratio provides insight into the insurer's track record of settling claims and honouring its promises to policyholders. A higher claim settlement ratio indicates that the insurer is more reliable and efficient in processing and settling claims.
- Network Hospital Coverage: Choosing a health insurance policy with a vast network of hospitals is crucial to ensure you have access to quality healthcare services when needed. With Tata AIG health insurance policies, you can choose from a vast network of over 7,200 cashless hospitals, ensuring that you have access to quality healthcare services in your vicinity.
How to Purchase a 20 Lakh Health Insurance Policy via Tata AIG Online?
If you wish to buy health insurance online with a sum insured of 20 lakhs, follow the steps outlined below:
- Start by visiting the Tata AIG website and navigating to the "Health Insurance" section.
- From there, select the type of plan that suits your needs, such as individual or family floater, and choose the required coverage amount, which is ₹20 lakhs.
- Next, click the "Buy Now" button and provide the necessary details, including your personal information, contact details, and medical history.
- Take the time to review the policy details, terms and conditions, and the premium amount.
- Once satisfied with the policy details and premium amount, pay online using your credit/debit card, UPI, or internet banking.
- After processing the payment, you will receive a confirmation email with the policy document and other necessary details.
It's always a good idea to carefully review the policy document and ensure you understand the coverage, exclusions, and other vital details. If you have any questions, don't hesitate to contact Tata AIG customer service for assistance.
Benefits of Purchasing a 20 Lakh Health Insurance Policy from Tata AIG
Maintaining good health habits can be challenging, particularly in today's fast-paced world. Age is one of the most significant factors influencing your health. Medical emergencies can strike at any time, particularly during a global pandemic. To safeguard your health and that of your loved ones, it is critical to have reliable health insurance coverage, such as Tata AIG's 20 Lakh health insurance policies.
Tata AIG offers a range of benefits with its health insurance plans. Here are some of the advantages that Tata AIG highlights:
- Cashless Hospitalisation: Tata AIG's health insurance policy with a sum insured of 20 lakhs offers the convenience of cashless hospitalisation, wherein the policyholder can avail of medical treatment at any of the network hospitals without having to pay cash upfront for the expenses covered under the policy.
- COVID-19 Coverage: The COVID-19 pandemic has brought a wave of worry and unpredictability, particularly regarding health and well-being. The constant threat of contracting the virus outside one's home has heightened the risk for many. In such unprecedented times, having a health insurance policy covering COVID-19 treatment is paramount. Tata AIG's 20 lakh health plan provides this essential benefit.
- AYUSH Benefit: As medical treatments continue to advance and diversify, it has become essential for insurance policies to include both conventional and alternative forms of care. Tata AIG's 20 lakh health insurance policy goes beyond allopathic treatments, covering AYUSH therapies such as Ayurveda, Unani, Siddha, and Homoeopathy as in-patient care. It ensures that policyholders can access a wide range of medical treatments and choose the one that best suits their needs and preferences.
- Pre- and Post-Hospitalisation Expenses: In addition to covering basic hospitalisation expenses, a Tata AIG 20 lakh health insurance policy covers various additional charges, categorised as pre and post-hospitalisation expenses. It includes costs incurred on diagnostic tests, blood tests, medications prescribed by a qualified medical practitioner before and after hospitalisation, patient care procedures, OPD expenses, consultations, and ambulance charges, among other things. By covering all these expenses, the policy helps you save a significant amount of money and ensures you receive the best possible medical treatment without worrying about the financial burden.
What Our Clients Say
"I cannot stress enough how satisfied I am with the mediclaim policy I purchased from Tata AIG. Not only does it cover a wide range of medical expenses, but the customer support team has also been exceptional in answering all my queries and providing guidance whenever I needed it. I highly recommend Tata AIG health insurance to anyone looking for comprehensive coverage and peace of mind."
~ Reeti Chatterjee
"I had a very positive experience with Tata AIG when I had to claim under my mediclaim policy. The entire process was seamless and efficient, and the customer service team was very responsive and helpful in guiding me. I was pleasantly surprised that my claim was settled within a few days, and I could access the medical treatment I needed without any financial stress."
"I have been a loyal policyholder of Tata AIG for several years, and I can confidently say that their mediclaim policies have exceeded my expectations. The coverage provided by their policies is comprehensive, and the premiums are affordable, making it an excellent value for money. I highly recommend Tata AIG's mediclaim policies to anyone seeking reliable, cost-effective health insurance."
~ Giridhar Bhuniya
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Disclaimer / TnC
Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.
Frequently Asked Question
1. What happens if the health insurance policy renewal date is missed?
If the health insurance policy renewal date is missed, the policy will lapse, and the policyholder will lose all benefits associated with the policy. The policyholder can only make claims once the policy is renewed. Additionally, if the policyholder renews the policy after the due date, the insurance company may request a medical check-up or a fresh proposal. The policyholder may also have to pay the penalty or higher premiums for late renewal. Therefore, renewing the health insurance policy on time is essential to avoid inconvenience and ensure uninterrupted coverage.
2. Do I have to pay yearly health insurance premiums till I die?
No, you do not have to pay yearly health insurance premiums till you die. Health insurance policies typically have a fixed policy period, such as one year or two years, after which they need to be renewed. If you no longer need insurance coverage or cannot pay the premiums, you can choose not to renew the policy. Additionally, some health insurance policies offer lifetime coverage, meaning you pay the premiums for a fixed period, after which the policy remains in force for the rest of your life without any further premium payments.
3. Is there a tax advantage to purchasing online health insurance?
Yes, there is a tax advantage to purchasing online health insurance. Under Section 80D of the Income Tax Act, policyholders can claim a deduction for the premiums paid towards health insurance policies. The deduction amount depends on the policyholder's age and the policy's coverage amount. The maximum deduction that can be claimed is ₹25,000 per year for the self, spouse, and dependent children, and an additional ₹25,000 for parents below 60 years of age. If the parents are above 60 years, the maximum deduction limit is ₹50,000.