7 Things to Ask Your Insurance Company

This article first appeared on India Infoline.

While we all hope and pray to enjoy a healthy, long life, medical care is something we do require at some point in our life. The unpredictable, unforeseen medical expenses can mean extra financial burden in this day and age. Having a health insurance is best way to cut down these expenses. A health insurance covers these charges and provides you with risk coverage against unpredictable medical emergencies. Hence, it is crucial that you choose the best health insurance plan for you and your family.

You will never know if you do not ask! To select the most suitable health insurance policy, it is essential to understand the fine prints of your policy and get clarity on factors that really matters while a selecting the best option. Here is a list of 7 things which you should discuss with your insurance agents before taking the plunge:

  1. Does your insurance company offer cashless hospitalization?

Most of the health insurance companies offer special schemes and plans which suit your individual healthcare requirements. As per Insurance Regulatory and Development Authority (IRDA) guidelines, if your insurance company has tie-ups with hospitals (Network hospitals) then you do not have to pay for taking treatments in those hospitals. This policy is called ‘Cashless Hospitalization.’ The expenses under this policy are settled directly between hospital and health insurance company with the help of a Third Party Administrator (TPAs) and does not require your involvement .Ask your insurance company if they facilitate cashless health insurance policy or not.

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Cashless Health Insurance is Painless

This article first appeared on Moneycontrol.com.

An unforeseen medical emergency can mean an unexpected financial burden apart from the emotional stress that such an incident entails. To ensure that adequate financial resources are at our disposal during such emergencies, we sign up for a health insurance policy. However, while this measure affords us some peace of mind, the family of the patient is still required to fill in a plethora of forms and furnish initial amount at the time of hospitalization. Though this amount can be claimed later from the insurance companies, arranging the required some at such an hour could be quiet challenging, especially if the procedures are long and complicated. Cashless health insurance policies are designed specifically to relieve stress for the insured at the crucial moment of hospitalization.

Cashless health insurance

Cashless health insurance is a policy where the health insurance companies settle the hospitalization and treatment bills directly with the hospitals without the immediate involvement of the insured.  Under cashless health insurance scheme, Third-Party Administrators (TPAs) act as the bridge between the insurance companies and the hospitals. All the medical bills raised by hospitals are sent across to TPAs who then coordinate with the insurance companies to settle the claim. This process eliminates the need to furnish any amount at the time of hospitalization and also minimizes documentation required to avail medical services.

Cashless mediclaim service can be of two types:

  • Planned claim – When the insured is aware of the hospitalization in advance
  • Emergency claim – When immediate hospitalization is required due to serious illness or an accident

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