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Do I need another health insurance policy if my employer covers me under one? #short#healthinsurance

Is depending on a corporate health insurance policy good enough?
When someone talks to us about investments and finances, we have our answers ready! We have done our research on what is best for us and how to select the right avenues. But when it comes to choosing the best health insurance plans for family or oneself, to protect our savings and someone questions us on it, often our answer is “Why do I need one? My company covers me and my family under their corporate health insurance policy.”

Most of us can relate to this situation of having a corporate health insurance plan. And you might wonder what’s wrong with it? Well, technically, nothing. However, the integral question that remains unanswered is “Is it enough to cover your family’s health or do they need another health insurance policy?”. And that is exactly what we will be addressing here, in our simplification drive.

A corporate health insurance policy or a Mediclaim policy is definitely a great benefit. Why? Simply because it offers a certain level of protection for you and your family, at the expense of your employer. 😀 And the employer makes sure that with this added benefit of an employers health insurance, there will be better retention in the company.

But, the problem with depending on only a corporate health insurance plan.

Firstly, the employers health insurance policy has a standardized Sum Insured for all employees and their families.

However, your needs might differ from the other employees. The right Sum Insured should ideally be based on your age, life stage, family structure, lifestyle, medical history, etc. Depending on your and your family’s requirements, a standard employer’s health insurance policy may not protect you completely when you actually need it.

Suppose, your Sum Insured is 2 lakhs and unfortunately you face an illness that requires hospitalization and the bill comes up to 3 lakhs. The extra 1 lakh after your insurance claim has been paid, has to be borne by you if you don’t have an additional individual health insurance policy.

Now, you might have your savings to bank upon. But in case (God forbid), someone in your family suffers from a Critical Illness and the treatment cost shoots up to more than 10 lakhs, can you still bank on your savings? And even if you can, exhausting all your savings leaves you financially unprotected for the future, esp. in a time which is otherwise also very mentally straining.

Secondly, an employer’s health insurance policy is till you are employed. When you leave your job, your corporate health insurance cover ceases to exist immediately. So, the time when you are in between jobs or on a sabbatical, you are basically without any health insurance policy. If anything unfortunate does happen during this period, you are completely unprotected.

And the most important reason is your family. Though some corporate health insurance policies cover your dependents in your plan but again that coverage which ranges from ₹2 lacs to ₹5 lacs is not enough. And given the healthcare inflation is 20% as compared to 8% overall, it is important to evaluate your health insurance protection.

So, what is the solution?
Simple, take a personal health insurance plan parallelly with the right Sum Insured that fits all your needs, so even if your corporate health insurance plan cannot cover your health expenses completely, you always have your individual health insurance policy to make an insurance claim with. And if 2 health insurance policies are becoming a pain to maintain, stick to your corporate health insurance plan and take a top-up plan on it. This way, even insurance claims needs that are over and above your corporate plan, are taken care of.

Note- In case you leave your job, the amount of cover that was borne by your employer earlier will have to be paid from your pocket as a deductible.

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Do I Need Another Health Insurance Policy If My Employer Covers Me Under One?

Health insurance is an essential aspect of our lives, ensuring we have access to medical care when needed. Many individuals are fortunate enough to receive health insurance coverage through their employers. However, this often leads to the question of whether an additional health insurance policy is necessary. The answer to this question depends on a variety of factors and an understanding of one’s specific healthcare needs.

First and foremost, it is important to review the health insurance coverage provided by your employer. Evaluate the extent of the coverage, the benefits offered, and the limitations imposed. Some employer-based health insurance policies offer comprehensive coverage that may include preventive care, doctor visits, hospital stays, and prescription medications. If this coverage meets your needs and adequately protects you from unexpected medical expenses, an additional policy may not be necessary.

However, it is also crucial to consider individual healthcare requirements. Each person’s situation is unique, and while an employer’s policy may provide a reasonable level of coverage, it may not fully meet specific needs. For instance, certain medical conditions or specialized treatments may not be adequately covered under an employer-based policy. In such cases, it might be wise to seek additional insurance to ensure comprehensive coverage.

In addition, consider the financial aspect. Health insurance policies often come with co-pays, deductibles, and out-of-pocket expenses. These costs can add up, especially if you frequently require medical care or have ongoing healthcare needs. By having an additional health insurance policy, you can potentially reduce your out-of-pocket expenses and avoid unexpected financial burdens.

Moreover, employment situations can change. If you switch jobs or lose your job, you may no longer have access to your employer’s health insurance coverage. During this transitional period, it is crucial to have a backup plan. Having an individual health insurance policy in place can provide continuity and peace of mind during employment changes.

Another aspect to consider is the flexibility to choose healthcare providers. Some employer-based policies have restrictions on which doctors or hospitals you can visit. If you prefer specific healthcare providers who are not covered in your employer’s plan, having an individual policy allows you the freedom to choose healthcare professionals of your choice.

It is essential to evaluate the cost-benefit ratio when deciding whether to add another health insurance policy to your coverage. Conduct thorough research and compare different insurance options to determine the most suitable and cost-effective solution for your healthcare needs. Remember to take into account your personal health history, potential risks, and the coverage provided by your employer.

In conclusion, the decision to obtain an additional health insurance policy with employer-based coverage ultimately depends on individual circumstances. While having an employer-provided policy is certainly beneficial, it is crucial to assess the comprehensiveness of the coverage and consider specific healthcare needs. An additional policy can provide added protection and financial security, particularly in cases of exceptional medical conditions or when employment circumstances change. Taking the time to evaluate and understand your health insurance needs will ensure you are adequately protected and have access to the healthcare services you require.