Top-up Health Insurance Plan

What are Top-up Health Insurance Plans?

A top-up health insurance plan gives extra medical coverage if you already have a health insurance policy or an employer-provided mediclaim policy. It helps cover medical costs once you’ve used up the amount insured by your regular policy. However, a top-up plan has a deductible which means that it starts covering costs only after you pay a certain amount yourself.

Top-up plans are cheaper than basic health insurance and can be added to your employer's health coverage. They provide extra funds to handle unexpected medical emergencies when your current policy might not be enough.

How Top-up Insurance is Different from Super Top-up Insurance?

Top-up and super top-up insurance plans both provide extra medical coverage when your basic insurance policy is not enough. However, there are key differences between them.

With a top-up insurance plan, you can make only one claim in a year after you pay the deductible amount. In contrast, a super top-up insurance plan allows multiple claims in a year. For a top-up plan, the deductible must be met in a single hospital bill. But with a super top-up plan, you can combine multiple bills to meet the deductible.

For Example

Imagine your top-up insurance has a deductible of ?3 lakh. If you make two claims in a year, one for ?1 lakh and another for ?2 lakh, the top-up plan won’t activate since neither claim crosses the ?3 lakh deductible in a single bill. Similarly, if two family members have separate hospital bills of ?2 lakh each, the top-up plan won’t apply because the bills are not combined.

However, if you receive a single hospital bill of ?5 lakh, the deductible is crossed, and the top-up insurance will start covering the remaining ?2 lakh.

Benefits of Top-Up Health Insurance Plan

A health top-up plan protects you from the cost of expensive hospital fees and also provides additional coverage over and above the basic health insurance policy. It decreases your out-of-pocket money and allows you to concentrate on getting good care without any tension related to money.

1. Key Benefits

• Extra Coverage: A top-up plan provides greater protection, in addition to your usual health insurance sum-insured to reduce your financial stress.
• Affordable Premiums: Top-up plans are inexpensive, providing higher-layer coverage at a much lower cost as compared to upgrading a standard policy.
• Ideal for Seniors: Older adults, who are more likely to need medical care, can benefit the most from a top-up plan for extra protection.

Top up health insurance is a good solution to give peace of mind and financial security in times of medical emergencies.

Inclusions of Top-Up Health Insurance Plan

Here are the medical expenses usually covered under most top-up insurance plans:

• Post-Hospitalization Expenses: Covers follow-up treatments, medicines, or therapies after being discharged from the hospital.
• In-Patient Hospitalization Costs: Includes room rent, doctor fees, operation charges, oxygen, prosthetics, blood, diagnostic tests, and similar expenses.
• Domiciliary Treatment Costs: Pays for treatments taken at home when hospitalisation isn’t possible.
• Emergency Ambulance Charges: This covers the cost of using an ambulance during medical emergencies.
• Organ Donor Expenses: Covers costs related to organ donation, including surgery for the donor.
• Pre-Hospitalization Expenses: Pays for medical tests and treatments done before being admitted to the hospital.
• Daycare Procedures: Includes treatments or surgeries that don’t require a 24-hour hospital stay.

How to Select a Top-Up Health Insurance Plan?

Here are some simple tips to help you choose the right top-up health insurance plan:

• Choose Higher Deductibles: If you want a more affordable plan, pick one with a higher deductible.
• Avoid Unnecessary Coverage: Don’t pay extra for things like daily cash allowance or dental coverage if your main health insurance already covers them.
• Check Waiting Periods: Make sure you understand the waiting periods for things like pre-existing conditions, specific illnesses, maternity, or critical illness coverage.
• Family Coverage: Check if the plan also covers your family members, such as your parents, spouse, and children.

Conclusion

A top-up health insurance plan is an affordable way to add extra coverage to your existing health insurance. It helps protect you from high medical expenses and ensures you're financially prepared for unexpected health emergencies. Whether you are looking for more coverage or additional peace of mind, top-up insurance can be a smart choice.