A health insurance policy is technically a contract between the policyholder and the insurance company. This document lists various terms of the company, coverages, etc. A health insurance policy also states a clause related to the waiting period if applicable.
In this article, we will shed some light on what exactly is waiting period applicable on health insurance plans. Take a look:
What is Waiting Period in Health Insurance?
Waiting period is the time during which a policyholder cannot raise a claim against a specific ailment even if it is covered under the health insurance policy. The duration of the waiting period depends upon the terms and conditions of the insurance company. Thus, when you are looking to buy a health insurance cover you need to know the exact time you need to wait before making a claim.
Types of Waiting Period Applicable
Waiting period on Group Policies
An employer will most likely offer health insurance cover to his/her employees. In this case, a new employee may have to wait for a certain period before he/she can make a claim against the group policy. This waiting period may be applicable to a new employee that may be currently serving probation.
It is said that one should buy a health insurance cover early in life because a person is less likely to suffer from a medical condition in the early stages of life. However, one may not prioritize buying health insurance plans. Thus, there are chances that a person already suffers from a medical condition while buying the policy. This medical condition will be called a pre-existing disease. In this case, your insurance company may ask you to wait for a certain period before you can raise a claim against the ailment you are already suffering from.
Most health insurance companies enforce a waiting period against maternity benefits. The waiting period can span from a few months to a few years, depending upon the terms of the insurance company. Thus, it is advisable that one purchases a health insurance plan much before planning a family.
Other Aspects of Health Insurance
The situations under which a policyholder will be provided financial support by the insurance company are called coverages. One can raise a claim against the coverage of a health insurance policy. The premium of a health insurance policy depends upon the extent of coverage offered.
Exclusions are the situations under which your insurance company will not be liable to pay the policyholder. These are situations where claims cannot be raised. It is very important for a policyholder to understand the list of exclusions while buying an insurance policy. If a claim is raised against such a situation, it will get rejected.
These are additional coverages that can be bought by the policyholder in addition to the coverage of the policy. Otherwise, Add-ons become a part of the exclusion list. Every insurance company has its own set of conditions with respect to add-ons. It is not mandatory to purchase Add-ons, but one should assess his/her needs and buy these if required.
A claim is a request made to an insurance company by the policyholder to release the corresponding payment. A claim needs to be approved by the insurance company. With respect to health insurance, the policyholder needs to intimate the insurance company in case of a medical emergency. The company will approve or reject the request after assessing the insurance policy and related documents.
The Bottom Line
It is important to read and understand your health insurance policy. First of all, know your needs and then proceed to buy a policy that fulfills those needs. Educate yourself with basic terms (like the ones explained above) related to health insurance. This will help you understand every aspect of your policy in a better manner.
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