Read about Difference between mediclaim and health insurance. For more information, check out the health insurance plans from Kotak General Insurance.
Over the past few years, more and more people are understanding the importance of having the right health insurance policy. However, when it comes to buying a health insurance plan, there are certain confusions and doubts that one may face. One of the first few things that you need to understand is the difference between mediclaim and health insurance. Being the basis of health insurance, it is important to know their differences and not confuse them to be the same. While both these terms are often used synonymously, they do come with their set of differences. Let's take a look.
Health insurance is a comprehensive concept. A health insurance plan offers you complete coverage for medical treatments. A health plan either directly settles your hospital bills in the form of cashless hospitalisation or compensates your expenses in the form of a reimbursement post-treatment. The coverage also includes pre and post-hospitalisation, daycare procedures, ambulance charges, check-ups, etc.
A mediclaim policy is a basic type of health insurance that offers you specified coverage against your health-related expenses. The coverage is mostly limited to hospitalisation and a few other expenses. Though mediclaim is comparatively reasonable, the coverage is also not as much as in a health insurance policy.
Just like health insurance, mediclaim policies can also be used to cover your family members also. Both plans offer tax benefits under Section 80D of the Income Tax Act. Despite these similarities, there are certain differences between the two. Some of them are listed below.
Comprehensive coverage that includes in-patient expenses, overheads, pre, and post-hospitalisation, and loss of income as well.
Offers coverage for treatment in a hospital related to accidental injuries and specified illnesses up to a specified limit.
A health insurance policy can have a sum insured of INR 50 lakhs or even more
The sum insured in a mediclaim policy is generally limited to a few lakhs
A long list of riders/ add-ons are available with a health insurance plan that allows enhanced coverage.
In a mediclaim, there are no rider benefits available.
Choosing between mediclaim and health insurance can seem to be a little difficult. However, to make a well-informed decision, you need to keep a few factors in mind. Although a health insurance plan offers more coverage, it comes with a higher premium in contrast to a mediclaim policy. If you are young and healthy and do not have any common health conditions in your family history, you may opt for a mediclaim. For someone over 30 who has had some medical issues should prefer a health insurance plan. When making a decision, chalk out your needs, and make a decision that best suits your and your family’s needs.