Health Insurance Amid COVID-19: 6 Things To Consider
The Coronavirus pandemic has brought home the stark fact that life is completely uncertain. The best-laid plans have come awry for scores of people, and the importance of having a good health insurance plan has been emphasised during this grim time. Thousands of Indians have purchased new health plans ever since the virus struck around the world and continues to wage battle on us all. At the same time, there are dedicated Coronavirus health plans — Corona Kavach and Corona Rakshak policies — that are designed to cover COVID-19 treatment costs.
You must consider buying either of these health insurance policies if you wish to safeguard yourself and your loved ones against the dreaded virus. But there are important factors to consider before doing so.
What are the 6 factors to consider when buying health insurance while the pandemic rages on? They are:
1) The waiting period.
Every health insurance plan in India has an initial waiting period — this succeeds the policy purchase date and usually spans 30 days from the date of buying the plan. The waiting period signifies a period of time during which you cannot file any or all of the health insurance policy benefits. Once the waiting period is over, you can file the claim against treatment or hospitalisation, as the case may be. In case of a Coronavirus health plan, the waiting period spans 7 to 30 days.
2) Is home care treatment covered?
Most health insurance policies in India with a COVID clause do not cover home treatments. Coverage under both Corona Rakshak and Corona Kavach policies is extended to treating the virus of a certain severity, and in hospital. However, in case there is a shortage of hospital beds or oxygen apparatus, the consulting doctor can certify that the virus is severe enough to merit hospitalisation but owing to shortage of beds, the treatment was conducted at home. Check if your COVID policy covers domiciliary hospitalisation — look for plans that do.
3) Is there a cooling off period?
Just like a waiting period mentioned in Point #1, there is a cooling off period for those who wish to buy the Corona Rakshak or Corona Kavach policies, but who have recently recovered from COVID themselves. If you have just recovered from COVID prior to buying the policy, the insurer may extend the cooling period from three months to six months. You cannot purchase from that insurer till the cooling off period is over. When attempting to purchase, you must submit a negative antigen and RT-PCR test to confirm the purchase.
4) What are the sub limits?
Health insurance plans in India often have sub-limits: these most commonly refer to room rent capping. Most leading health insurers in India recommend a one-time single use private air-conditioned room for one claim in a year. This is the sub-limit on the plan, and you may not claim multiple air-conditioned rooms in a year’s treatment. Look for health insurance policies without this sub-limit especially if you fear getting the virus, and transmitting it to family members. On the flip side, plans without sub-limits usually have higher premiums.
5) Are COVID-related consumables allowed?
Every health insurance plan in India offers coverage for ‘consumables’, i.e. ancillary equipment and medicines that are necessary as part of the treatment plan. In terms of treating the Coronavirus, these can include buying PPE kits, oxygen equipment, ventilator, etc. Check if your Coronavirus health plan covers these consumables, because these costs are also considerable.
6) What are the terms of the purchase?
Lastly, you must be fully aware of the terms and conditions of the policy purchase. The typical terms are limits on maximum age (usually you cannot buy the plan if your age exceeds 65 years), limits on pre-existing illnesses, etc. Some leading insurers have easy terms of purchase, where the entire policy may be purchased online if you are a younger person without any pre-existing illness and a steady source of income. In some cases, a qualifying medical test may also not be taken. During the pandemic, insurance providers are taking the safety of customers seriously by accepting e-underwriting of the policy.