Tax advantages apart, health insurance has become quite popular due to rising awareness among people and better protective component on offer from the insurance companies. Here are some of the changes in various health insurance policies that
one needs to keep in mind before investing in one.
Introduction of sub-limits
Your total medical costs have various components like the doctor’s consultation fee, cost of surgery or treatment, room rent, medical costs, ambulance, ICU rent, etc. Unlike in the past when the health insurance premium was a single component, health insurance companies today offer sub-limits for each component above. For instance, your room rent limit can be limited to a certain percentage of your total sum insured. This will give you a break-up of spending limits for each sub-section.
The good thing is that if you choose to use sub-limits, you can lower your annual premium charges. On the downside, if you overshoot the percentage of limit for each sub-limit, you will have to pay the difference from your pocket. For example, if you choose an air-conditioned room and if the room tariff exceeds your sub-limit for room rent, you have to bear it from your pocket.
