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Why Should You Buy A Health Insurance Plan With Restoration Benefits?

Health insurance plans come in numerous variants. With so many features being provided, it is fairly difficult to compare two insurance plans. More often than not, we realise that our health care coverage is not enough. This is where a health insurance refill or a restoration benefit comes in handy!

What is a restoration benefit?

Choosing a health insurance plan with restoration benefit implies that if your insured sum gets exhausted during a treatment, the insurance company will restore that sum insured. To explain this further, let us assume you get a health insurance plan with a sum insured of Rs 10 lakh. Say, you get diagnosed with a heart problem and your insured sum gets exhausted in your treatment in the first two months. If god forbid you get diagnosed with another illness, the insurance company will restore that insured amount so that you are still protected and can make a claim for the same amount again in the same year. Hence, while buying a health insurance plan, the restoration benefit can prove to be worth the money.

How much excess premium do you pay for restoration benefit?

Since health insurance plans can vary immensely, it is difficult to put a number to it. The restoration benefit does come at an extra premium, but the investment is worth considering the benefits it offers. It works like a magical backup that works as a health insurance recharge for your sum insured that has been exhausted.

Types of Restoration benefit

  • Complete exhaustion: this health insurance benefit is mostly offered as a part of nearly all health insurance policies. Remember that it is applicable only when the entire sum insured along with the bonuses is exhausted.

  • Partial exhaustion: this benefit is applicable even if there is a partial exhaustion of the sum you have insured.

Conditions under the restoration benefit

The restoration benefit comes with its own set of conditions. These conditions may vary from policy to policy, but the commonly prevalent ones are:

  • The benefit is offered only for different illnesses.

  • The benefit is not available for first claim during the term of policy

  • Restoration benefit cannot be carried forward to the next financial year in case it is not consumed in the present year.

HDFC Ergo’s Health Suraksha Plan comes with an add on cover called “regain benefit”, which can restore 100% of the sum insured once the provided no claim bonus has been totally exhausted in the year.

It is quite clear that the restoration benefit is an ideal add on cover for health insurance. You can always choose to insure a higher sum of amount, but that comes at a higher premium to be paid. On the contrary, the restoration add on cover helps you keep your premium within the stipulated budget and at the same time avail the benefit of additional cover.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

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