Health Top-up Plans That Help Prepare For Medical Emergencies

Health insurance in India is the fastest growing segment in the non-Life sector. Health insurance has never been more important than it is today. With rising treatment costs, individuals and their families require comprehensive and adequate health insurance that ensures access to the best medical care without running into a financial crisis.

It is advisable to purchase a health insurance plan only post evaluating the requirements of individuals and families, so that the policy is adequate. However, sometimes even well-evaluated health insurance covers may get exhausted and subsequently force people to use their savings. This can be avoided by opting for a top-up health insurance plan if you have an existing policy but wish to expand its cap.  

A prudent addition to your existing health insurance policy, the top-up health insurance plan offers medical coverage in addition to the policy you have already purchased before. It is an indemnity cover that protects from high-cost medical crisis by allowing you to cover medical costs above and beyond the amount insured by your standard policy.

Your existing level of coverage can be increased at a reasonable cost with a top-up health insurance plan. If your needs go beyond the scope of your standard health insurance plan, top-up policies provide an additional safety net that you can rely on.
Top-up plans typically cover the following:

●    In-patient hospitalization cost
●    Pre-hospitalization cost as per product.
●    Post-hospitalization costs as per product
●    Daycare procedures
●    Organ donor costs
●    Emergency ambulance charges
●    Domiciliary treatment costs

Since these products come with a deductible most products do not require pre-medical health check-up till a certain age and hence, purchasing them early can help you stay protected for longer while paying lower premiums. The top-up plan gets activated post the deductible limit getting exhausted in the policy. A deductible is a certain amount/ limit which gets be paid by the insured either from his bottom or standard policy and post the deductible the Top Up Sum insured gets available for any claim. A deductible does not reduce your sum insured. 

Top up plans also have two variations, one is the standard Top up plan where the deductible is applicable on per claim basis and the other is the Super Top Up plan where the deductible is on aggregate basis. 

There are numerous add-ons available that can be effortlessly converted into basic health plans. These plans are renewable for the rest of your life. Corporate employees with insurance from employers should supplement their health insurance with top-up plans and other advantageous options. 
The major advantages of selecting top-up plans are enhanced coverage, additional protection, access to global treatment facilities (if available), and a large insured sum in case of medical emergencies. You can also modify these plans as per your specific needs independently of the employer health insurance scheme or your basic insurance package. 

The article is authored by Shreeraj Deshpande, PhD Head – Health Business, SBI General Insurance