PERSONAL LINE PRODUCTS
Personal Line General Insurance Products comprise of Health Insurance – Mediclaim, Motor Insurance, Personal Accident Insurance, Household Package Policy & Travel Insurance Policy.
Personal Line Products at a glance:
1) Health Insurance:
Health Insurance or more popularly known as a Mediclaim is very essential insurance as hospitalization expenses are skyrocketing.
Health Insurance policy generally indemnifies an individual for minimum 24 hours hospitalization. The expenses being considered here include expenses for treatment, operation, surgery, anaesthesia, implants, investigations, medicines, hospital accommodation, Pre & Post Hospitalization etc. However, minimum 24 hours hospitalization is not required in case of listed Day Care procedures.
Customer should keep due diligence in purchasing Health Insurance policy on the basis of waiting period for listed chronicle diseases, Pre Existing Diseases, Maternity Benefit etc.
Also, selection of adequate sum insured is also very vital as most of the Health Insurance policies indemnify room charges linked with sum insured like up to 1% of sum insured per day for Normal Room & up to 2% of sum insured per day for admission in ICU. Not only that, but other medical expenses like doctor’s visiting fees, Operation Theatre charges, Operation fees, charges for Anaesthesia etc. will also be impacted proportionally if room charge exceeds specified limits. So it is advisable to buy a Health Insurance policy without such capping for room charges, medical procedures and proportionate reduction in claim amount.
Below mentioned Add on coverages or policies are also available In addition to conventional Health Insurance Policies:
[1] Critical Illness Benefit Policy:
It is a Benefit policy not indemnity policy which supports the insured by paying the lump sum amount not exceeding sum insured amount to support him/ her for maintaining life style in case of any of listed critical illnesses like 1 st heart Attack, Cancer etc. is diagnosed. This amount is paid only if insured remains alive for prefixed excess days, say 7/30/60/90 days after diagnosis of captioned critical illness. This type of policy is generally sold as a separate policy. However, Some Health Insurance policies offer benefit of Double Sum Insured in case any of listed critical illnesses is diagnosed.
[2] Hospital Cash Benefit Policy:
It is also a benefit policy which supports the insured by paying lump sum amount as per policy for no. of days of hospitalization in excess of prefixed no. of days say 3 days. The objective of this policy is to support the insured to meet incidental expenses incurred while hospitalization like expenses for fruits, conveyance, expenses for companion etc. which is not payable in a routine health insurance policy.
[3] Top Up/ Super Top Up/ Deductible Policy:
This is a very popular supplementary Health Insurance Policy should be purchased as a “Spare Wheel”.
It is generally considered costly to opt high sum insured and at the same time no one can plan for hospitalization expenses. Sometimes, such unplanned high expenses lead individual to become debt ridden by borrowing at very high rate of interest due to life threatening situation.
A specially designed Health Insurance policy has a feature call Threshold limit or Deductible. Any claim amount if exceeding the threshold limit and admissible as per underwriting guideline is indemnified.
Now, the Threshold limit of such policy can be jumped either in a single claim or by way of aggregate claims in a policy year.
A policy which considers only single claim amount exceeding the Threshold limit is called Top Up policy. Probability of getting benefit from Top Up policy is comparatively less, henceforth not recommended.
The other type of policy which is called Super Top Up policy is worth to buy as probability of getting its benefit is reasonable. Here, aggregate value of all the claims of the insured exceeding the Threshold Limit triggers the claim under such policy. Super Top Up policy is very cost effective solution for opting High sum insured.
General options for Super Top Policy are as mentioned below:
Sum Insured – 3 lacs to 8 lacs for deductible 2 lacs, 7 lacs to 17 lacs for deductible 3 lacs, 5 lacs to 20 lacs for deductibles 5 lacs etc.
One should choose deductible in commensuration with his/ her primary health insurance policy.
For example. If someone has a family floater policy of 3 lacs then he and his family members can avail claims up to 3 lacs in this primary policy. Now, If that family opts deductible 3 lacs and goes for Super Top Up policy with sum insured 12 lacs then they are insured for 12 lacs more at very reasonable price. So, their total health insurance will be of 15 lacs but at a very reasonable price compared to opting 15 lacs in their primary policy.
Considering the tremendous pocket pulling rise in hospitalization expenses, we recommend to buy primary health insurance policy with minimum sum insured 5 lacs & Super Top Up policy of Sum insured minimum 10 lacs with reload or recharge benefit and deductible or threshold limit 5 lacs. Proposal Forms, Claim forms and other documents of Health Insurance Policy of most of all Insurance Cos. can be obtained from ourDownload Centre.
Please visit our online insurance sales platform https://www.policymine.com for more detail and to determine which Health Insurance policy is the best solution for your need!
2) Motor Insurance:
Motor insurance covers insurance for 2 wheeler, Private car, Passenger carrying vehicles, Goods carrying vehicles and Miscellaneous - Special class of vehicles.
There are 2 types of Motor Insurance policies viz.
Package Policy – Comprehensive Policy which indemnifies insured against damage to Own Vehicle, Accidental death & injury to Passengers, Accidental death & bodily injury to Third Party and damage to property of third party caused by insured perils.
ONLY TP – Liability Only policy indemnifies insured against Accidental death & injury to Passengers, Accidental death & bodily injury to Third Party and damage to property of third party caused by insured perils. It does not cover any damage to Insured’s own vehicle.
As per Motor Vehicle Act, it is compulsory for vehicle owner to insure vehicle by any type of motor insurance policy.
Now a days, Insurance Cos. have introduced some add on coverages for Private Car as mentioned below. These coverages are generally not included in a Normal Package Motor Policy.
- a) Nil or Zero Depreciation
- b) Engine & Gear Box Protection against consequential damages or damage to Engine & Gear Box due to hydrostatic lock
- c) Consumable Expense Cover
- d) Key Replacement
- e) Loss of personal belongings
- f) NCB Protection
- g) Emergency Road Assistance
- h) Tyre Cover
- i) Return to Invoice cover
- j) Towing charge etc.
We at CATALYST suggest and educate our customers and POSP about different coverages to be taken in different types of cars, so that risks are covered adequately at optimum cost.
Now a days, long term policy for 2 wheelers is available generally for the period of maximum 3 years.
Proposal Forms, Claim forms and other documents of Motor Insurance Policy of most of all Insurance Cos. can be obtained from our Download Centre.
Please visit our online insurance sales platform https://www.policymine.com for more detail and to determine which Motor Insurance policy is the best solution for your need!
3) Dwelling Policy or Household Insurance Policy:
House purchased by hard money of an individual if gets damaged due to fire or Earthquake or alike perils then that unfortunate family becomes shelter less! Premium for Policy insuring house for its construction value against such perils is very nominal and attractive discounts are also offered by Insurance Cos. for Long Term Dwelling Policy.
Household Package Policy covers building & content both and many other sections like Machinery Break Down, Electronic Equipments etc. This type of policy is offered for 12 months only.
Proposal Forms, Claim forms and other documents of Household Package Insurance Policy of most of all Insurance Cos. can be obtained from our Download Centre.
Please visit our online insurance sales platform https://www.policymine.com for more detail and to determine which Dwelling or Household Package Insurance policy is the best solution for your need!
4) Travel Insurance:
It is known as Overseas Mediclaim Policy – OMP. It should be taken while travelling abroad as most of the regular health insurance policies indemnify hospitalization expenses incurred within India only, not abroad.
Most of the travellers do not fill up proposal form or provide information on their pre-existing diseases while taking Travel Insurance. This information is very vital in claim settlement and very few travel policies cover Pre Existing Diseases.
Same thing can be said about capping for expenses of hospitalization expenses in case of a traveller with age more than 50 years.
Customer should keep due diligence in providing information or check coverages before buying it.
Other coverages include loss of checked in baggage, delay in flight, loss of Passport, Public liability, accidental hospitalization, transportation of mortal remains, funeral expenses etc.
Brochures, Prospectus and other documents of the Travel Plans of all Insurance Cos. are available in our Download Centre.
Please visit our online insurance sales platform https://www.policymine.com for more detail and to determine which Travel Insurance policy is the best solution for your need!
We assure you for prompt delivery of Travel Insurance policy as it has been observed a last minute need, generally!
5) Personal Accident Insurance:
Its abbreviation PA or IPA as Individual PA is more popular as a terminology. It is a must buy policy for any individual above age of 18 years as accident happens accidentally and in case of an accident to earning member of a family if leads to death or disability then survival of his or family is left to destiny.
Premium of PA policy is comparatively nominal and one must buy it for the sake of family.
PA policy provides benefit in case of Accidental Death, Permanent Total Disability - PTD, Permanent Partial Disability – PPD and Temporary Total Disability – TTD. Total Sum Insured available in PA policy is 100 to 120 times of monthly income of insured while TTD is capped to generally 24 times of monthly income of insured. Dependent members can also be covered in the same family if not earning with sum insured generally 50% for spouse and 25% for child.
Some Insurance Cos. also offer Add on covers like Medical Expenses including OPD, Accidental Hospitalization Expenses, where minimum 24 hours of hospitalization is required, Loan Waiver, Education fees Benefits to Max 2 dependent children, transportation of remains. Funeral expenses, ambulance charges etc.
Some Insurance Cos. offer Fixed Plan benefits which are more popular now a days because of their bundled benefits at very cost effective prices.
Brochures, Prospectus and other documents of the PA Plans of all Insurance Cos. are available in our Download Centre.
Please visit our online insurance sales platform https://www.policymine.com for more detail and to determine which PA Insurance policy is the best fitment to your need!