When your Corporate Health Insurance is Not Enough

Unexpected circumstances are just that, ‘Unexpected’. You never know what is coming and neither there is a way to know that, especially when it comes to the health and well-being of your family, but you can be proactive to deal with such circumstances. When someone talks to us about our finances and investments, we with full confidence have our answers ready!

But when it comes to choosing the right health insurance plan we often answer, “why do I need one? My organization has given me a suitable corporate health insurance policy. ” Most of us who are working for an organization feels secure in the knowledge that our corporate health insurance creates a protective shield for us and our dependents. we are very much satisfied that we do not need any separate health schemes as we have our organization sponsored Mediclaim. However, questions such as, “does it cover Covid-19, is the amount is sufficient to meet the expenses adequately during medical emergencies, etc.” need to be verified before just settling down for the Corporate health insurance.

What if the situation comes when your corporate health insurance is not enough or it’s not available when required the most. To face such circumstances we have listed down a few reasons why Corporate health insurance is not enough to protect you and your family.

Reasons Why Corporate Health Insurance is not Enough

Standardized Sum Insured

As it has been seen and observed that the organizations have standardized the sum insured for their employees and their families. However, there might be possibilities that your expenses may differ from the sum insured by your employer and is not able to cover the need that you and your family may require. It’s also possible that the procedures may be costly. In these contexts, the health insurance coverage offered by your company could fall woefully short.

Employment Status

Your Corporate health insurance policy is valid till the time your employment continues with the organization. The moment you leave the company or gets terminated for any reason your insurance cover ceases. Even when you are in between jobs or on a sabbatical, you are basically without any health insurance policy, and unfortunately, if anything does happen then you are entirely unprotected.

Coverage for Dependents can be restricted

In addition to offering a minuscule amount, your employer may have other certain conditions that restrict the no of dependents to be covered under the corporate health plan. If your corporate health plainly covers four members from a family i.e. self, spouse, and children. And in case you also have your parents as your dependents, then you are at a disadvantage as you won’t be able to cover older members of your family who need it most at the moment.

Procedures Covered

In providing Corporate health insurance policy, your employer may have other conditions that may limit their responsibility to you. These limits can be on the list of hospitals, diagnostic test and ambulance charges, means you may have to pay for a part or all of these once you cross the threshold. Some requirements, such as post-operational treatment or game care may not be included at all. This could be a big problem.

Retirement makes it harder to secure Health insurance

Everyone is supposed to stop working at a certain point in life. And getting your first health insurance policy post-retirement might be an expensive affair maybe even an impossible one if you are too much of a risk. Once you are above the age of 50, you are more susceptible to have pre-existing diseases to your insurers and you will have to go a handful of medical tests beforehand and may have to shell out a lot of cash to avail that policy. That makes your health insurance costlier as it may not be able to cover pre-existed illnesses. That’s why it makes much more sense to avail health insurance plan early in your working life.

Changes in Terms & Conditions

Health insurance is a perk that a company provides to its employees; it’s not a right. Therefore, they can change the policies overnight if they want to reduce expenses and it might catch you by surprise. If a family member of your is undergoing a treatment then it may be difficult for you to bear those medical expenses and it could burn a hole in your pocket.

Moreover, it is also important to know how strong is your insurer and the list of hospitals with whom the insurer has tie-ups. the basic idea to opt for health insurance is to reduce your out of pocket expenses to a bare minimum. therefore it is always better to do background research of the policies to check if it is meeting your expectations. You could also explore an individual cover or a family floater plan.