Top up health insurance plans provide an additional sum insured in case the basic amount is exhausted. A top-up policy comes in handy, when a regular health insurance policy indemnifies up to the chosen sum insured.
The cost of the insurance goes up over time but the policy remains the same. In such a case, you can opt for any of these top-ups rather than going for higher coverage.
Why Do You Need a Top-Up Plan?
An employer’s health insurance offers coverage until you are working in the organization. Plans offered to an employee may be limited with respect to the amount they would indemnify. In such case, you will be liable to pay the hefty medical bill if you are not sufficiently insured. It might happen that the sum insured falls short in case of a serious medical condition. Thus, the perfect way to prepare yourself for an unexpected condition is a health insurance that can add to your current sum assured.
What are the Types of Top-up Plans?
It can be classified into two:
Regular Top-up Policy
Super Top-up Policy
Some Facts to Know about Top-up policy
Buying Top-up Policy
You can avail a top up the plan from your current insurance provider or a different one. With a basic health plan such as individual or family health insurance, the top-up plans are to be availed as an add-on. You can purchase it online by entering the required basic personal details.
Eligibility Criteria
18 years is the minimum age to avail a top-up policy. Nevertheless, a dependent child can be insured for three months. Usually, the maximum age is 80 years. For dependent children, it is 25 years. However, the age limit may differ according to your insurance provider.
Deductible of Top-Up Policy
While buying the policy you will have to select a deductible. While making a claim, certain amount needs to be paid by you as deductible and the insurance company pays the rest of the amount as per the terms and conditions. The chosen deductible will be paid using the top-up policy, as per the policy rule. The deductible is applied in individual claims, in case if the policy is availed as floater sum insured.
Premium and Sum Insured
The sum covered, deductible and age of the insured are the factors on which the premium of a top-up plan depends. Lower the premium, higher the deductible or vice versa.
Pre-Policy Medical Test
Health insurance providers might request a pre-policy check up to determine medical conditions and understand your medical history.
Conclusion
The most suitable supplementary option with dual benefit of low premium and higher sum insured is top-up plans. You can select a separate top up health insurance plan to support your individual policy’s coverage, even if you are covered by an employer’s health insurance. Thus, for anyone who is looking for a higher sum insured at an affordable rate, top-up plan is a perfect addition.
