Super top-up insurance is the best way to get insured at a nominal cost, even if you have a family floater or corporate health policy. Check out how super top-up health insurance can help.
Hospitalisation costs have been rising recently. Rajesh and his wife Rani had a family floater medical insurance policy with a sum insured of ₹5 lakhs. They had assumed that this was enough to cover their medical costs.
But the Covid infections combined with medical inflation was a bit too much. It broke their medical insurance cover.
They could only afford the premium of ₹6000 per year and some more spent while buying cover of ₹5 lakhs. For a sum insured of ₹10 lakhs, their premium would be ₹12,000. This would stretch their medical insurance budget.
Let’s look at two possible solutions to increase your medical insurance cover at a nominal cost:
Top-up Medical Insurance Cover
Top-up is applicable only if the medical expenses are higher than a certain fixed amount. This fixed amount is the deductible limit. The insured person can bear the cost of the deductible limit. If not, then another basic medical insurance policy can cover it.
The top-up policy covers any medical expenses over and above the deductible limit. However, it will cover costs only up to its sum insured.
Therefore, it is best to have a basic medical insurance policy along with a top-up policy. The sum insured of the basic policy should be equal to the deductible limit of the top-up policy.
But then, you might be wondering about one thing. Won’t the premium of both policies together be equal to the premium of a policy with a higher sum insured?
Actually, no. The premium of top-up policies is less (almost half) than the premium of a basic policy with the same sum insured. That is the real charm of top-up medical insurance!
Is there a Catch?
Top-up policies are a great way to increase your sum insured at a nominal extra cost. But they consider medical expenses for a single hospitalisation event. In the case of Rajesh and Rani in our earlier example, these will be regarded as separate hospitalisations. So the top-up policy will not cover their medical expenses.
So what could have helped them? The answer is super top-up medical insurance.
Also read the Benefits of Buying Health Insurance Before the Third Wave of Covid-19?
Super Top-up Medical Insurance
Super top-up medical insurance has all the characteristics of top-up medical insurance. But the expenses of all hospitalisations are added to calculate the deductible.
The super top-up would cover your excess expenditure over and above your sum insured.
Key Takeaways
With the coronavirus pandemic entering our lives, we are living with added medical uncertainties. Unfortunately, managing your medical insurance coverage by increasing its premium may not always be the best solution.
In that case, to increase your medical insurance cover, you can divide your desired cover into two parts.
The first part is the basic sum insured by your basic policy.
The second part would be the sum insured of a top-up or super top-up policy. Again, this should have a deductible limit equal to that of the sum insured of the basic policy.
Increase your medical insurance cover at a nominal cost. Buy top-up/super top-up medical insurance now.