Run these critical checks on your health cover

Increase cover if inadequate; exit policies with sub-limits, copayment

- SANJAY KUMAR SINGH & KARTHIK JEROME

April 7, observed as World Health Day, is a good occasion for policyholders to re-evaluate their health insurance policies. If the existing policy has glaring inadequacies, port to a more comprehensive plan.

Inadequate cover

Many individuals who bought health insurance a decade or so ago, continue with a sum insured of 2-3 lakh. With medical inflation averaging 14-15 per cent annually, this amount is now grossly inadequate. "The average cost of hospitalisation for 2.5-3 days can come to 1.5-1.75 lakh. The cost in metros tends to be even higher," says Ashish Yadav, head of products and operations, ManipalCigna Health Insurance.

Treatment of critical illnesses can be prohibitively expensive. "The cost incurred on treatment of cancer, kidney or lung transplant could be 20-30 lakh or more," says Siddharth Singhal, head of health insurance, Policybazaar.

A single member of a family floater could exhaust a small cover, leaving other members vulnerable.

Singhal suggests combining a 10 lakh base policy with a ₹90 lakh super top-up for an individual or even a family of three.

However, managing claims across two policies can be more complex, so buy both base and super top-up from the same insurer. Yadav adds that the policy should also take care of inflation by offering noclaim bonus.

Room rent and treatment sub-limits