Like other facilities, employees get coverage for their health at the workplace. We can say that our employers provide us with health insurance in addition to various other facilities that we often complain about. Just because these health benefits are attached to our job contract, it does not mean we do not pay for the coverage. The truth is, we hardly avail health cover issued by the employer and so do compare its benefits with the other health plans available in the market. Needless to say, we cannot avoid or reject this insurance cover, and therefore, depend on the extent of coverage provided to us. However, this coverage is not sufficient and these group insurance plans have several loopholes. It is recommended to see how much coverage is there and whether it is sufficient for you!
Explore multiple health insurance plans available online and see how much those insurers have got for you while keeping your affordability in mind.
Generally, we see how much cover is there in exchange for the amount of money is to be paid to avail that. Well, availing reimbursement for the expense incurred for availing medical treatment at the hospital along with medical bills can cost you a lot. While for the same premium amount, you can get a lump-sum payout in addition to hospitalization expenses and claim reimbursement, including coverage for critical illnesses, pre-existing diseases and more. Make sure your health plan provides coverage for these, as any of these diseases/illnesses is going to cost you the most if there.
In order to ensure your safety, make sure you purchase health coverage for critical illnesses like kidney failure, cancer and so on if your existing health plan does not cover them. In case you were diagnosed with any of these diseases, you would need a lump-sum payout to avail the treatment for the same.
Limited Customizability
When it comes to group insurance, employers try to cover as many as possible critical illnesses to provide the maximum coverage to their employees, keeping their dependents are liabilities in mind. The company has to negotiate with the insurer and there is a particular sum assured as part of the policy benefits. However, you cannot always consider that the coverage is there for the particular disease for you as well as for your family.
It could also be the case that you were assured protection for critical illnesses, in case any of your family members was diagnosed with while the insurer had to change the policy terms going forward. Thus, if you need protection for your family members with an assurance that it would last for as long as you had been paying the premium, you must buy a family health insurance plan separately.
Plan may Discontinue at any Time
Your coverage remains in force for as long as you are under the employment of a particular organization. The moment you quit the job with your employer, you are no longer insured. Also, the insurance company may retract the group insurance policy and its corresponding benefits anytime in the future. You cannot renew and continue a group insurance policy on your own terms, whereas the coverage is terminated automatically once you reach the retirement age.
Remember: Although it’s good to move to an individual coverage plan after retirement, it’s recommended to have it already along with the group insurance for enhanced coverage because purchasing a new policy at the age of 60 or above will cost you more.
Besides, an individual health plan, though, can be purchased as well as renewed with an existing group insurance policy, whereas it brings you no benefits in particular. It is recommended to buy a five-year individual plan with fixed benefit to ensure that your family is protected whether or not you are working in the meanwhile.
Group plans not efficient –says a survey
Based on a survey conducted by Pan India, covering over 3000 people, the following statistics were obtained:
- General consultations should be covered – as demanded by 59 percent
- Employees availed benefits –39 percent of covered
- 20 percent employers offer diagnostic services while 31 percent employees coverage
- 28 percent employers provide maternity education under group plans while 73 percent of female employees sought it.
Conclusion
It is prudent to have mixed insurance cover for extended protection. It does reduce the demerits of group insurance in the long term as well as requires you pay an additional premium for effective individual coverage.
