Difference In Top Up and Super Top Up Health Insurance Plans
Updated On Feb 06, 2024
Health insurance policies ensure that you are covered financially against the medical expenses that could arise in the future. However, with the increase in the cost of treatment, a health insurance policy alone is not sufficient enough to meet the growing expenses. Hence, opting for a back plan today is of utmost necessity.
What is a Top-Up Health Insurance Policy?
A top health insurance plan is an additional cover that is given above the existing limit at a nominal premium. This plan acts as a safety net to cover you if you exceed the specified limits. A top-up plan comes into the picture when the sum insured by the policyholder exceeds as typically an insurance provider pays expenses just for the insured sum.
For instance, Mr. Sachin Kirloskar has taken a health insurance plan for a sum insured of Rs 3 lakhs. Unfortunately, he gets diagnosed with cancer, the expenses for which come out to be around Rs 5 lakh. However, under ordinary situations, his insurer would pay only Rs 3 lakhs and the rest has to be met by him from his pocket. But, in case he would have opted for a top-up plan of Rs 8 lakhs, then this additional cost would be met by his new plan.
To simplify, a top-up plan offers protection to a policyholder, once the policy limit is exceeded under a normal health plan.
What is a Super Top-Up Health Insurance Policy?
A super top-up health insurance plan is an advanced form of top-up plan, which has certain limitations associated. A super top-up medical insurance plan provides coverage when not just a single claim goes beyond the fixed limit of the health insurance plan but when multiple claims do. Under this plan, a total of all the bills is considered, irrespective of the fact if they belong to a single illness or multiple illnesses.
For instance, In the above example, let us suppose that Mr. Kirloskar suffers from one more heart attack after 7 months, the expenses come out to be around 6 lakhs, which goes beyond the top-up plan purchased by him as only one claim can be considered. Now, if Mr. Sachin had opted for a super top-up plan with a cover of Rs 8 lakh and a limit of Rs 5 lakh, then an additional 1 lakh would have been paid by the insurer as per the plan.
When is it Appropriate for You to Opt for a Top Up Plan?
Under the following circumstances, it is ideal for a person to opt for a top-up medical insurance plan:
1. When sufficient protection is not offered by the current health insurance plan. Under such circumstances, individuals can opt for a top-up plan to enhance their protection.
2. When an individual wants to increase their coverage limit at a nominal premium amount. The premium for the top-up or super top-up plan is cheap compared to the premium for a regular policy with similar coverage. Thus, this plan helps an individual in saving money.
Note: Irrespective of the health insurance policy you select, it is always recommended to understand and go through the health plan carefully. Read the policy document, its exclusions, and inclusions well, before making any decision.
Also Read:
Top Health Insurance Plans without Co-Payment Feature
Top 10 Health Insurance Plans in India
Disclaimer: This article is issued in the general public interest and is meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive and should research further or consult an expert in this regard.
