Corporate jobs are not all about high salaries, fashionable house rent allowances, and other accompaniments. The most important privilege is corporate employee insurance, which includes insurance coverage for employees and their family members concerning their health. This consists of the spouses and children, depending on the culture and the type of home, even parents and in-laws. Although employers have scaled down the benefits they provide, and over the years, these have been Factions that many organizations offer health care coverage. The beauty of the policies is that preexisting conditions, most especially the cause of rejection of claims, are immediately under a policy.
Global health Insurance sales or coverage changes woke up between 2020 and 2022 due to health concerns resulting from the pandemic and increased healthcare hospitalization costs. However, a large segment of the population of many countries still has no insurance. For instance, according to research conducted by Avendus in 2023, only 60 million were subscribed individually or under corporate insurance.
Why Relying Solely on Corporate Health Insurance Isn’t Enough
Most employees rely solely on health insurance offered at the workplace, but this should not be the case. Dependence on corporate insurance can be dangerous, especially when you have to change your job or are out of work. The corporate insurance offered to an employer is only able to protect that employer in the case that they employ you. When you leave the company, your health insurance benefits end, and finding a new employer with good coverage may be challenging. However, when you are older, the premiums for health insurance go up higher; therefore, obtaining an independent policy is wise.
An independent health policy differs from an employer-offered one, as it’s usually renewable for the policyholder’s lifetime. In addition, corporate medical insurance provides a lower sum insured, which is frequently between Rs 3-5 lakh and excludes provisions such as room rent limit or co-insurance. Hence, it is wise to always have your health insurance plan ready in case something happens to your main source of income.
How Much Coverage Do You Need?
For people aged 35-40 years who reside in metropolitan cities, it is advisable to have a minimum health insurance of Rs 10 lakh. Metro city healthcare costs remain high, making this level of coverage a reasonable starting point. The last thing one should do is neglect this cover and let it lapse without checking on what has been provided every five years to reflect inflation in the medical field and changes in the client’s health status.
A Corporate Insurance For Employees floater policy that covers multiple members is often a better option for families. For example, a family of four with parents in the 35-40 age range and young children should aim for a family floater cover of at least Rs 20 lakh. This ensures that everyone in the family is adequately protected.
Separate Policies for Elderly Parents
While purchasing a family floater policy, one tends to include elderly parents within the family in the same policy. However, a stand-alone policy for elderly family members is usually preferable. Old people are usually prone to complications such as diabetes, hypertension, or heart disease. Since their health complications require frequent hospitalizations, this increases hospital expenses and overall costs. The best approach is to opt for the highest sum insured possible, especially for senior citizens. In case of financial concern, exploring the availability of top-up plans or policies specifically for senior citizens would be appropriate.
Factors Influencing Coverage Amount
We advise a sum insured of Rs 10 lakhs for a single person and Rs 20 lakhs for family floaters, though it may vary. It is difficult to pinpoint the exact coverage required for each person because it depends on factors such as age, income, standard of living, and place of residence. For example, a hospital room’s rent depends on the room’s category, among other factors that add to the final medical bill. If you are okay with private rooms, you may require high coverage.
Other aspects are medical developments and the increased price range of medical services. People with higher incomes may consider the policies with the maximum sum insured up to Rs 1 crore, which can even address planned medical treatments in foreign countries. In the same way, having a base policy and a top-up plan costs more than having a large single cover. Applying the same idea, having a base policy and a top-up plan would be cheaper than having a large single cover.
Top-Up Plans vs Single Large Cover
Opting for a base policy with a top-up plan is generally cheaper than buying a large single cover. A top-up plan only kicks in after the base policy is exhausted. For instance, if you have a base policy with Rs 5 lakh coverage and your hospital bill amounts to Rs 7 lakh, the top-up plan will cover the additional Rs 2 lakh. If you don’t have a base policy, you must first pay the deductible amount (Rs 5 lakh in this example) out of pocket before activating the top-up plan.
Choosing the Right Insurance
While Corporate Insurance For Employees offers immediate benefits, it’s important to consider long-term options. Employers may not always offer the coverage you need, especially as healthcare costs rise. By securing independent health insurance for yourself and your family, you ensure financial stability and peace of mind in the face of medical emergencies.
Conclusion
The prices in the healthcare sphere are constantly increasing, and depending on the insurance provided by the employer is very risky, so purchasing an individual health insurance policy is necessary. As much as it can be a base policy with a top-up or a separate policy, ensure you are properly insured. Additionally, if you are looking for high-quality and cost-effective insurance products, The CBC Health Insurance Marketplace for Costco Members offers a range of options to help you secure the best coverage for you and your family.
