Health emergencies do not come with prior notification. Therefore, we must be prepared for any kind of medical emergency. Along with mental preparation, we should also be financially prepared. And the best way to ensure that you have funds during a medical emergency is by having a health insurance policy. Along with the assurance that you have funds ready when you need to be hospitalized or seek medical assistance, you will get several other benefits as well. As a matter of fact, if you buy expensive health insurance, you will certainly get more benefits. However, it may not be possible for everyone to opt for a costly health insurance plan. This is why many people go for top-up or super top-up insurance plans.
So, let us today discuss and try to understand the concept of top-up and super top-up health insurance.
What is a top-up insurance plan?
Top-up health insurance comes with extra cover for a single claim. The threshold limit that is offered by the base plan is extended by a top-up plan. This means that one such plan provides coverage to an individual or a family during a medical emergency, especially when it is difficult for the family or the individual to arrange the necessary funds. It provides extra coverage at a smaller cost.
If you feel that your base plan is not enough and purchasing another health insurance policy will only make things costlier, you can subscribe to a top-up insurance plan.
What is a super top-up insurance plan?
It is an extra coverage received by the policyholder on paying an additional premium. This cover in a health insurance policy is for several claims. The claims can be varied and do not necessarily need to have exactly the same disease that was caused in the past. After one or many hospitalizations, this can be claimed by a policyholder. You as a policyholder can use a super top-up plan only when your deductible amount has surpassed.
Difference between top-up and super top-up insurance plan
Mentioned herein below are the differences between a top-up and super top-up plan.
Purpose
In a top-up plan, additional coverage is only offered after the deductible amount of one claim is surpassed.
In a super top-up plan, coverage is offered after a total of many hospitalization bills cross the threshold.
Premium payable
The premium that you have to pay for a top-up plan is lesser than a super top-up insurance plan.
How does it work?
The principle on which a top-up plan works is per claim or per hospitalization.
A super top-up plan enables one to raise multiple claims.
Hospitalization
A top-up plan covers only one hospitalization.
A super top-up plan covers several hospitalizations.
Deductibles
To claim the additional coverage, you have to surpass the deductible amount in a top-up insurance plan.
In a super top-up plan, if you surpass the deductible amount, the other claims become reimbursable.
Claims
In a top-up insurance plan, you can reimburse the claim only if you cross the deductible amount.
In a super top-up plan, you can file for multiple claims only if you surpass the deductible.
Lapse of claim
A top-up insurance plan lapses after 1 year.
A super top-up insurance plan lapses only when all the premiums paid by you have been exhausted.
To conclude, we can say, if you are not suffering from any chronic disease, you can choose a top-up insurance plan. On the other hand, if you are at high risk for your health and often need to be hospitalized, you should go for a super top-up plan.
To find both the plans online, you can visit the IIFL website. You can compare the plans from the comfort of your home and choose the one that is suitable for you.
