Types of Health Insurance Plans

Have you made sure that you have the right kind of health insurance policy?

There are various types of health insurance plans available in the market today, offering different advantages. Before you decide to invest, it is important to have a fair idea about different plans.

There are various types of health insurance plans available in the market today, offering different advantages and catering to various needs.

Here's an elaboration about the different types of health insurance plans.

Individual insurance plan

Individual plans provide coverage to individuals, which is limited to the sum assured. The premium is determined after considering a number of factors like age, health conditions, amount of coverage, etc.

Group insurance plan

As the name suggests, a group insurance plan offers health cover to a group of people. It is usually offered to professionals or employees of a company by the employer. Members of a co-operative society or association can also opt for such a plan. Group plans are usually less expensive than individual and family plans as they cover a large number of people.However, the group should not be formed for the specific purpose of buying cheaper insurance.

Family floater plan

This type of plan can be availed by two or more individuals of a family. Rather than a specific sum assured for every individual, all the members under this plan are covered under a common sum assured. The premium for such plans is usually lower than the cost of separate insurance polices for each family member.

Depending on the type of cover it provides, health insurance can also be categorized under two broad categories: hospitalization and critical illness.

Hospitalization plan

This kind of insurance offers coverage for expenses related to hospitalization. The expenses you incur are either paid to the hospital directly or reimbursed by the insurance company at a later stage.

Critical illness plan

Such plans cover critical illnesses like cardiac arrest, organ transplantation, kidney failure, etc. Usually, critical illness plans offer coverage only for extremely serious illnesses listed in the policy document.Before purchasing such a plan, refer to the list of illnesses your chosen plan covers.


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