Team AckoJul 22, 2021
Today’s urban life has become quite hectic. People are constantly on the move. Stress, sedentary lifestyle, and unhealthy eating habits have deteriorated people’s overall health quotient, especially in the metros. With the depleting green cover, rise in infrastructure, and increase in pollution, breathing fresh air has become challenging.
Amidst all this, the rising costs associated with healthcare can be daunting. This makes it all the more important for people to avail health insurance. Fortunately, many corporates have realized the need for a health cover for their employees. Read ahead to understand group health insurance policy in detail.
Employee medical insurance policy is a group health insurance policy offered by an employer to an employee. Several employees are covered under this group health insurance policy. The risk factor of the entire group is analyzed to arrive at the policy’s health insurance premium. This health insurance premium is paid by the employer. The employers usually provide such a plan to ensure loyalty and improve efficiency of their employees. This plan is applicable to all employees; its terms and conditions, inclusions and exclusions are common to all insured people.
Rising healthcare costs have resulted in costly health insurance plans. Not all employees might be able to opt for an individual health insurance plan. In such cases, the plan offered by the insurer acts as a security measure in case of health-related mishaps. One can also opt to purchase an individual health plan in addition to the group medical plan depending upon the extent of cover provided by the employer.
In some cases, the group medical cover’s benefits might also extend to the employee’s immediate family members. Usually, spouse and children are covered under such a policy. Dependent parents might also be covered depending upon the terms and conditions of the policy.
A group insurance policy acts as a supporting factor in case of creating your own contingency fund. Depending upon your coverage, you can manage how much you want to invest in your fixed deposit or low-risk mutual funds to create your own fund. This way, you will have options to choose which financial security measure to utilize in case of a health issue. This way, you will not exhaust all your health-related financial security measures in meeting one health concern.
Most of the group health insurance providers have tie-ups with a chain of hospitals. They have an extensive list of network hospitals. What this means is in case of health issues, you can get admitted in one of the network hospital and avail cashless services. You won’t have to pay money from your pocket. The insurer and the hospital shall settle the claim amidst themselves. However, this depends upon the coverage of your policy.
The biggest importance of a group medical policy is peace of mind. Not just regarding the coverage but also regarding claim settlement. Some companies offer group policies that can be converted to individual health insurance policies after a predefined number of years.
Group medical insurance premium is paid by employer for the employee
Group health insurance cover might be extended to immediate family members of the insured
Note that such a cover shall be discontinued if the employee leaves the company
It is suggested to have an own fund for financial security as well
Read the terms and conditions of the group health insurance plan carefully before raising a claim; especially the hospital room rent aspect.
Want to post any comments?
A modern employee benefits plan built for post-Covid era
Is bike insurance mandatory for 5 years?
Team Acko Sep 23, 2021
Difference Between Critical Illness and Disease-specific Plans
Team Acko Sep 23, 2021
Does Scrapping your Car Affect Insurance?
Team Acko Sep 23, 2021
Car Insurance for High-risk Drivers - Check Details
Team Acko Sep 22, 2021
ACKO General Insurance Limited
2nd Floor, #36/5, Hustlehub One East, Somasandrapalya, 27th Main road, Sector 2, HSR Layout, Bengaluru, Karnataka - 560102
We’re socially active!
Download our app
Articles on insurance
IRDAI Registration No: 157
Category: Non-Life Insurance
The use of images and brands are only for the purpose of indication and illustration. ACKO claims no rights on the IP rights of any third parties. The ratings are derived from reviews and feedback received from Google and Facebook users on their respective platforms.
Trade logo displayed above belongs to ACKO Technology & Services Pvt Ltd and used by ACKO General insurance Limited under License. For more details on risk factors, terms, conditions and exclusions, please read the policy wordings carefully before concluding a sale.