What Is The Difference Between Mediclaim And Health Insurance?

Mediclaim policy and Health Insurance policy are the two terms that are often confused with each other. In layman’s words, they are both related to medical insurance that provides financial coverage to the policyholders at the time of a medical emergency. Despite this resemblance, some major factors highlight the differences between them. Let us compare mediclaim vs health insurance.

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What is a Mediclaim Policy? 

A Mediclaim Policy is a kind of health insurance that covers the insured members, financially in case a medical emergency arises. The policyholders can either choose for reimbursement or direct bill settlement of the expenses incurred on the hospitalization due to accident, critical illnesses, or surgeries. 

Benefits of a Mediclaim Policy

1. In the case of hospitalization, the expenses incurred can be claimed immediately. 
2. Direct bill Settlement facility is available on cashless policies by the mediclaim insurance company. 
3. A reimbursement facility is available according to the type of plan you choose. 
4. Affordable premiums are applicable in comparison to health insurance policies.

What is Health Insurance? Benefits of Health Insurance

Health insurance meaning is an insurance policy that provides wider coverage to its policyholders when he/she is stuck in a medical emergency. The comprehensive coverage offered under a health insurance policy can include much more than just hospitalization expenses, like coverage for critical illnesses, alternative treatments, daycare procedures, and others. 

Benefits of a Health Insurance Policy

1. The policy offers comprehensive coverage with several add-ons. 
2. Covers the pre-and-post hospitalization charges of the insured, apart from the hospitalization costs.
3. Numerous policies are available to suit the requirements of all, be it senior citizens or your entire family. 
4. The policy allows you to choose for extra coverage regarding maternity benefits, outpatient benefits, and critical illness coverage.

Also Read: What is Group Mediclaim Insurance Policy and Its Benefits for Employees?

Mediclaim And Health Insurance Difference

Let’s see this table to understand the mediclaim and health insurance differences:

What should I invest in Mediclaim Insurance or Health Insurance?

You have now seen that both Mediclaim Insurance and Health Insurance have their own pros and cons. Therefore, you should analyze your budget, requirements and the number of members to be insured, before investing in either of them. 

If you are someone who cannot spend much on premiums but also does not want to overlook your family’s health, then opting for a Mediclaim can be a good choice. However, if you want wider coverage for your loved ones and afford the premium costs, then you should go for a suitable Health insurance policy. So, apart from your financial condition, there are certainly other factors that you can keep in mind before making a choice:

1. If your and your family’s medical history  has been healthy, you may consider a Mediclaim 
2. Also, keep in mind their age and stage. Elderly people, women planning a family, individuals working in a risky environment would need better coverage
3. Whether you wish to make a short term or long term investment
4. Flexibility and freedom to customize is available only in a health insurance policy
5. Mediclaim policies have a lower premium

Conclusion

There are certain basic differences between mediclaim and health insurance, nevertheless, both of them will stand out for you financially when you are in a medical emergency. Whether you invest in a Mediclaim or a Health Insurance policy, it is important that you at least have some source to cover your expenses in an unfortunate situation. After all, an emergency can never be predicted, and in such a situation you would have to dig into your savings unless you have a strong backup plan.

Also Read: Niva Bupa (earlier Max Bupa) health insurance company key highlights, features, popular health plans, inclusions and common exclusions

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