The Abc Of Health Insurance For Newbies
As humans we all desire a better future for ourselves but in the bargain we forget that we are slogging and risking our health to fulfill. While taking care of our health is solely a personal responsible, the expenses sure can be catered by a good health insurance. However, before opting for a health insurance policy, it is advisable for one to understand the basics of the policy to reap the maximum benefits of your decision.
To understand the concept of health insurance in a better way, let us take the sample example concerning two major parties involved in the concept A (the insurer the party to the agreement who undertakes the responsibility to the losses) and B (the insured - the person, group, or property for which an insurance policy is issued.)
Parties in Picture: More often the ""A"" involved in the concept is the insurance company which is approved by the Insurance Regulatory and Development Authority (IRDA) while ""B"" is the person who is generally looking out to buy a good health insurance policy.
Scenario: Say suppose, Mr ""B"" is the Karta (The family is headed by a patriarch, usually the oldest male called is ""Karta"") of a Hindu Undivided Family (HUF) consisting of 3 members (B, his wife and daughter) is ailing from a disease covered by a particular health insurance company yet desires a better future for himself and his family.
The Choices: Mr ""B"" will first sort out what are his requirements and what policy suits his needs and requirements. He will have generally two options to select from: Health Insurance and Critical Illness Plan. In a layman's language, health insurance allows the insured to claim for medical expenses incurred for hospitalization due to an illness or injury while a Critical Illness Plan extends only to specific illnesses.
The Real System: After Mr ""B"" decides to buy the appropriate health insurance policy, ""A"" (the concerned company) will agree to pay the medical bill that Mr ""B"" - the insured incurs. However, there are certain conditions to be adhered to. (1) Mr ""B"" the insured pays the stipulated premium at regular intervals and (2) the amount payable is limited to the total amount insured (3) the insured would receive financial cover for opted health insurance policy at those centers.
When these conditions and a certain obligations are met, the insurer and the insured in our case Mr ""B"" are said to be entered into a deal and Mr ""B"" has set to be buying the concerned insurance policy to safeguard his financial stability.
In a nutshell, buying a health insurance serves like an investment in regards to your health expenditure which in turns helps to secure a better future for you and your loved ones. After all, health is wealth!
Tips to Remember:
1. Always take the background check of the company
2. Study your policy well and available hospitals to regret the decision later.
3. Buying a health insurance does not guarantee you long life!
To understand the concept of health insurance in a better way, let us take the sample example concerning two major parties involved in the concept A (the insurer the party to the agreement who undertakes the responsibility to the losses) and B (the insured - the person, group, or property for which an insurance policy is issued.)
Parties in Picture: More often the ""A"" involved in the concept is the insurance company which is approved by the Insurance Regulatory and Development Authority (IRDA) while ""B"" is the person who is generally looking out to buy a good health insurance policy.
Scenario: Say suppose, Mr ""B"" is the Karta (The family is headed by a patriarch, usually the oldest male called is ""Karta"") of a Hindu Undivided Family (HUF) consisting of 3 members (B, his wife and daughter) is ailing from a disease covered by a particular health insurance company yet desires a better future for himself and his family.
The Choices: Mr ""B"" will first sort out what are his requirements and what policy suits his needs and requirements. He will have generally two options to select from: Health Insurance and Critical Illness Plan. In a layman's language, health insurance allows the insured to claim for medical expenses incurred for hospitalization due to an illness or injury while a Critical Illness Plan extends only to specific illnesses.
The Real System: After Mr ""B"" decides to buy the appropriate health insurance policy, ""A"" (the concerned company) will agree to pay the medical bill that Mr ""B"" - the insured incurs. However, there are certain conditions to be adhered to. (1) Mr ""B"" the insured pays the stipulated premium at regular intervals and (2) the amount payable is limited to the total amount insured (3) the insured would receive financial cover for opted health insurance policy at those centers.
When these conditions and a certain obligations are met, the insurer and the insured in our case Mr ""B"" are said to be entered into a deal and Mr ""B"" has set to be buying the concerned insurance policy to safeguard his financial stability.
In a nutshell, buying a health insurance serves like an investment in regards to your health expenditure which in turns helps to secure a better future for you and your loved ones. After all, health is wealth!
Tips to Remember:
1. Always take the background check of the company
2. Study your policy well and available hospitals to regret the decision later.
3. Buying a health insurance does not guarantee you long life!
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