While talking about healthcare needs, we tend to stay away from the topic of health insurance as much as we can. All that we think before the lightning strikes
But when an emergency knocks on your door, all these claims fall apart. And all that we need is a way out. A way out of the financial constraints we face and a way of the mental trauma it brings along.
The term health insurance is often debated upon for its poor credibility. And indeed, it does require a thoroughly discussed approach before you opt for one.
But contrary to beliefs and in the previous few decades, the insurance industry of India has come up to be strong and secure enough to handle your money in a better way.
To commence the debate on its credibility, I would start with the two modes of obtaining a health insurance in India, via governmental sources and from privately funded names:
Government and privately funded insurance providers
Government-funded providers like the LIC of India or National Insurance Company are trusttworthy names. They have provided their services to the various generations of our country and are hence more secure to deal with. They come with an assurance from the government of India, to be bailed out of a financial condition or situation if arises. And hence, they have the least probability of drowning along with your money.
But with such a humongous firm to provide for your health, the expenses to bear against it increase simultaneously. For referance, the LIC levies multiple times the amount for a policy than a private insurer does. And which is majorly useful, but more when there’s a long-term investment involved. As in the long run, your money should be in safer hands. With something that can sustain the various ups and downs of economic diversities.
Whereas, in a private firm, this long-term security teeters a bit. Private insurers are majorly trading fronts or faces of different entitlements. And as insurance is not their only line of business, they can stop operating any-when they wish and can declare bankruptcy whenever the need arises. Making them less secure for a long-term investment.
Yet on the flypside, these firms prove suitable for short-term insurance policies like a health insurance is. They are more affordable and with more efficient customer support mechanisms in place, they prove highly useful in medical contingencies faced by their customers.
Other elements of security in health insurance
Another important parameter of security in insurance providers is their claim-settlement rate. This number is an average percentile of the total claims that are settled in a year. The higher it is, the higher are your chances to obtain funds when you need.
Currently, the Life Insurance Corporation enjoys the lead in this domain, with a claim settlement rate of about 99%. Which means 99 out of 100 claims were settled within the same year. Also, its private counterparts are not too far behind as well. As the private names deal with a variety of insurance types, this number is relatively lower for them.
With a regulatory along, your financial security epitomises
The major insurers of India are regulated by the
To sum it all up, I would say that obtaining health insurance is secure in India, rather it is beneficial enough. Yet only when you assess your requirements first and then you shop around rigorously within the proximity of IRDA approved resources.
Your health insurance may be privately funded or backed by the governmental bodies,
A health insurance is nothing but a word that states mental and statistical assurance of your good health. The question of its credibility can be debated upon, but such a discussion would only augment its abilities to you. A health insurance has proved its worth to many individuals across the nation, and with more awareness towards it, we are stepping up towards better and greater health of our country.