Health Insurance: Riders add heft to your health plans

financialexpress.com:

Add-on insurance covers make overall health protection plans more comprehensive and help protect the policyholder and his family from financial hardship in case of a medical emergency. Important health insurance riders include those for critical illness, hospital cash accidental injury and maternity coverage .

The impact of riders on the overall premium of the health insurance policy will vary depending on the type of rider and the insurance company’s underwriting guidelines. A critical illness rider will push up the premium by 10-20%, a hospital cash rider will increase it by 5-10% and a maternity rider will hike the premium by 1-5%.

Rakesh Goyal, director, Probus Insurance Broker, says riders in a health insurance policy provide extra benefits and coverage beyond the basic policy, giving individuals added protection for specific needs or situations. “People should consider taking health insurance riders when they have specific health concerns or life events like marriage, starting a family, or when their basic policy doesn’t cover certain conditions.”

The base health insurance policy may not have a high coverage amount to cover all of your medical expenses. Moreover, the base health insurance policy may not cover certain expenses such as dental care, vision care, or alternative medicine. Pankaj Goenka, assistant vice president & head, B2B Business, InsuranceDekho, says the base health insurance policy may have a waiting period for pre-existing conditions. “Riders can help reduce the waiting period, so that you can get coverage for your pre-existing conditions sooner. Riders can provide you with additional benefits, such as a daily hospital cash allowance, and a lump sum payment for critical illness.”

Individuals should