Top up vs Super Top up

A top-up health insurance is an addition to your basic health insurance coverage, which kicks in when the primary sum insured is exhausted. When your medical expenses shoot beyond the limit of your basic health insurance, a top-up plan covers the extra expenses for a single claim. It prevents you from spending money from your pocket, enabling you to save for the future.

However, every top-up plan comes with a deductible, which you must pay for to cover the extra expenses.

A deductible is an amount that must be paid by the insured to get the benefits of a top-up or super top-up plan. It is a threshold limit set by TATA AIG, which prevents the policyholders from making small claims. TATA AIG will pay for the medical expenses only if they exceed the deductible limit.

Let us consider an example to understand the concept of deductibles. Mr A has a base insurance plan of ₹8 lakhs, and he buys a super top-up plan of ₹6 lakhs with a ₹3 lakh deductible.

In case Mr A raises a claim, he must first pay the ₹3 lakhs from his pocket. The remaining amount
will be paid by the company up to the limit of ₹10 lakhs.

A super top-up plan comes into effect when the medical expenses of one year exceed the deductible amount. It considers the expenses incurred over a year (multiple claims), allowing you to get coverage for multiple hospitalisations. These plans are an extended version of the top-up plan.

TATA AIG offers a super top-up health insurance plan known as TATA AIG Medicare Plus. The features of this plan include a high sum insured of up to ₹1 crore, a long tenure of up to 3 years, a deductible option from ₹2 lakh to ₹20 lakhs*.

Let us consider an example to understand how super top-up and top-up health insurance plans work.

Example Illustration:

In the above example, we can see that in the case of the first claim, the company pays ₹3 lakh under both plans, while the claim amount was ₹6 lakh.

When a second claim is raised, the policyholder has to pay the deductible amount of ₹3 lakh, and the insurance company bears the remaining ₹5 lakh under the top-up plan.

However, in the case of a super top-up plan, the insured does not have to pay any deductible, and the insurer pays the entire claim amount of ₹8 lakhs.

When it comes to choosing between a top-up and a super top-up plan, experts suggest considering a few facts about each of these plans. A top-up plan is the least expensive option among the two, but it has short-term benefits. Such a plan is beneficial for young and healthy individuals who do not have any chronic illnesses or a family history of terminal diseases.

On the other hand, a super top-up plan is economical in the long run and provides wider coverage than a top-up plan. It is an ideal choice for senior citizens and for individuals who have chronic health conditions and require frequent hospitalisations.

Thus, when considering the choice between a top-up and a super top-up plan, you must consider your finances, health condition and requirements and the family medical history.

• Affordable

Top-up health plans are more affordable than regular insurance plans. You get wider coverage at a lower premium amount.

• Extra Coverage

It provides you with extra coverage against huge medical bills without altering the existing insurance plan. It is like an additional shield against huge medical bills.

• Tax Benefit

You can claim tax benefits for the premium that you pay to purchase a top-up insurance plan under section 80D of the Income Tax Act.

• Beneficial for Senior Citizens

It is highly beneficial for senior citizens, who require additional coverage for their medical expenses, but find the base health plans to be expensive.

• Option to Choose Deductible

You have the option to choose a deductible amount as per your budget and coverage requirements.

• Provides Cumulative Coverage

Under a super top-up plan, you get coverage for cumulative medical expenses incurred in a year. Thus, the scope is not limited to a single hospitalisation or claim. The aggregate of medical expenses throughout the year is considered a super top-up plan.

• Base Policy Remains the Same

You can enjoy the added benefits of a super top-up plan without modifying or upgrading the base insurance policy.

• Low Cost

A super top-up plan offers more coverage at lower premiums as compared to standalone insurance plans.

• Tax Benefit

The premiums charged for super top-up plans are eligible for tax deduction under section 80 D of the Income Tax Act.

• Includes Multiple Hospitalisations

The coverage of a super top-up plan is wider and considers the total of all medical expenses incurred in a year. Once the total expenses of the year exceed the deductible value, the super top-up plan gets activated.

TATA AIG’s super top-up plan is an excellent option for those who are looking for more coverage to meet their medical expenses. TATA AIG Medicare Plus plan is a super top-up health insurance plan that includes coverage for a wide range of expenses such as in-patient treatment, pre and post-hospitalisation expenses, daycare procedures, AYUSH benefit, domiciliary treatment, second opinion and so on.

Our super top-up plan is available for a long tenure of three years, which frees you from the hassle of re-purchases and renewals. Moreover, you can choose from multiple sum insured options based on your budget and health conditions. We offer sum insured ranging from ₹3 lakh to ₹1 crore.
Moreover, you also have the freedom to choose a deductible amount as per your financial situation, ranging from ₹2 lakh to ₹20 lakh.

Investing in efficient health insurance is a necessity in the wake of rising healthcare costs in India. While a health plan may provide you with assistance and coverage for medical expenses, at times it may be insufficient for dealing with the expenses of a chronic disease or other scenarios.

This is why having a backup of a super top-up health insurance is a wise move. It provides added cushioning when your expenses exceed the limit of the basic medical insurance plan.

TATA AIG provides affordable super top-up plans, which save you from huge financial expenses. Our plans are not only beneficial but also easy to purchase using our website! If you have any queries or require help with our super top-up plan, you can contact our team right away.