Why Get a Health Insurance Top Up Plan?

Medical insurance policies assist you in your financial needs during a medical emergency. However, if your medical bills exceed the amount covered by your insurance policy, then, in that case, you will have to pay the amount from your pocket. However, by adding a top-up health insurance policy you can easily avoid these circumstances. Most insurance companies like Care Insurance Company offer top up plans which can be purchased very easily.

In this article, we will talk everything about top up medical insurance plans, their advantages and how it works?

What is Top-up Health Insurance?

To understand this, let’s assume that you already purchased a medical insurance policy. However, you feel that your requirements may exceed the amount insured by your insurance policy. Then, in that case, you can increase your coverage amount by purchasing a top-up health insurance policy. So now, even if your claim amount exceeds the base amount insured by your health policy, you can still claim that additional amount by using your top up insurance policy. Top-up insurance offers two kinds of plans:

  • Top-up Health Insurance Plans
  • Super Top-up Health Insurance Plans

Top-up plan: It offers additional coverage beyond the threshold limit of an existing health insurance policy.

Super top-up plan: Both top-up and super top-up plans are the same, except that the top-up plan treats an individual claim, while the super top-up envelopes all the hospitalization bills above the insured limit.

Super Top-up vs Top-up – Which One to Prefer?

A top-up health insurance plan is suitable for someone who is not suffering from any chronic sickness or runs the risk of a terminal sickness. However, if someone is at risk of being hospitalized more than once a year from chronic illnesses, it is advised to purchase a super top-up insurance plan.

Benefits of Top Up Health Insurance

There are lots of benefits linked to purchasing a health insurance top up plan. Primarily, it reduces the huge medical expenses and provides you access to hospitals of your choice without worrying about any financial arrangements. So, here we have listed down the top 4 reasons to buy a top-up medical insurance policy.

Provides Additional Coverage Over Your Base Plan

It is one of the most crucial benefits of a top up health insurance plan. It acts as a financial backup in case the sum assured by your base policy is exhausted. Therefore, adding a top-up plan will ensure that all your additional expenses are covered, thereby reduces your financial responsibilities.

Affordable Premiums with High Coverage

Top-up health insurance plans generally come at affordable premium rates hence, the top-up plans are more cost-effective. It provides dual benefits i.e., the higher sum insured at a low premium cost. And for senior citizens, a Top-up insurance plan can be extremely advantageous. Because the possibilities of falling ill are more, a top up-plan would therefore be an ideal option.

Flexibility with Insured Amount

The amount covered by your existing health insurance policy can be extended up to a certain limit i.e, if you want to boost the amount ensured, you can only do that up to a certain amount based on the company’s policy to extend the insured sum. But, with top-up/super top-up health insurance, you can choose what insured amount you want to keep.

Easy to Purchase

You can purchase a top-up/super top-up plan from any insurer. Also, the original health insurance and top up health insurance can be from separate insurance companies. It is available along with family floater and individual plans along with a tax deduction facility under section 80D.

Hence, buy a suitable health insurance plan that covers all your medical expenses. And if you feel that the insured amount limits may get exceeded in the future, then definitely update your health insurance with a top up plan to cope up with high treatment costs.