Time and again, we have spoken about the importance of having a health insurance plan. Medical contingencies can arise at any time and anywhere. While you cannot do anything to avoid the uncertainties, you surely can save your family from facing a financial crisis.
Having a comprehensive health insurance plan will protect you and your family against unforeseen medical emergencies. It provides much-needed peace of mind and mental support, especially during tough times.
However, have you thought of what you are supposed to do in case you have exhausted your sum assured amount? In such a situation, most insurers offer reinstatement/restoration benefit on health insurance plans. Keep reading to know more about the restoration benefit in health insurance.
What is the Restoration Benefit?
The restoration benefit is one of the most beneficial features of health insurance plans in India. With this facility, your insurer will restore the sum assured amount after it is utilised. While restoration benefit is a common feature in family health insurance plans, most insurers offer the same facility in individual health insurance plans as well.
Make it a point to check with your insurer whether the benefit is available under your health plan or not. Also, you do not have to pay additional premiums for the restoration benefit.
In case you want to know the premiums charged on comprehensive health plans, you can use the health insurance calculator. The tool helps determine the premiums charged on your chosen health coverage and benefits, further allowing you to make an informed decision.
Types of Restoration Benefit in Health Insurance
Typically, there are two types of restoration benefits –
- Partial Exhaustion of Sum Assured Amount: Here, the insurer will restore your health insurance coverage once you have partially exhausted the sum assured amount.
- Complete Exhaustion of Sum Assured Amount: Here, the insurer will restore your health insurance coverage after you have completely exhausted the sum assured amount.
How Does Restoration Benefit Help You?
If your insurer offers the restoration benefit, then it is a blessing. It acts as a backup for you in case you exhaust your existing health insurance coverage. Moreover, considering that medical costs are on the rise, accessing high-quality healthcare facilities can be expensive for people. What would you do if you run out of health coverage in the middle of your recovery? Needless to say, the restoration benefit acts as a saviour in such situations.
Things to Keep in Mind When Opting for Restoration Benefit
If your health insurance plan provides restoration benefit, here are a few things that you should keep a note of –
- Make sure that you are well versed with the terms and conditions of the restoration benefit before buying the health policy.
- The restoration benefit is not only applicable to policyholders with a high sum assured, but in fact for any given sum assured amount.
- Some health insurance plans in India do not cover the same illness within the same policy tenure. However, insurers allow restoration of the sum assured amount utilised by the insured member(s) with the same health condition.
Besides these, it is best practice to check what factors your insurer considers when calculating your health insurance premiums. A few factors that most insurers consider are age, income, BMI value, sum assured amount, etc.
When it comes to BMI, an applicant with a high BMI will be considered as a high-risk applicant and thus will be charged high premiums. You can use the online BMI calculator to determine whether you have a high BMI or not.
The restoration or reinstatement benefit is quite a great addition to Bajaj health insurance benefits. Check with your insurer whether they offer this benefit before buying the policy. Moreover, remember that having a comprehensive health insurance plan is a sound financial investment. It not only provides tax benefits but also protects you and your family against unforeseen medical emergencies.