Personal Health Insurance vs Corporate Health Insurance

Life is uncertain; hence, it needs to be planned. The idea involves the understanding of owning health insurance to counter any financial turmoil due to a medical contingency in the future. However, with constant marketing and promotions over the years, many people have realised the significance and intent of health plans, but still fails to recognise better schemes for them. As we all know the love for free things or cheaper products among the people, thus the majority of the population seems to be more content with the corporate health insurance as it is cheaper and provided for free of cost in some organisations. 
 
Although the corporate health insurance plan is an exemplary option to have, still having an absolute dependence on it is certainly not a good choice. But many people do that, which unveils a lesser understanding of the health insurance concept among the citizens. It doesn’t imply that corporate insurance is of less importance, but outright reliance on it should be avoided. Personal health insurance is meant to offer medical benefits to people exactly as per their requirements and to facilitate long-term financial planning and investment. Let’s go through a comparison on different parameters to comprehend the difference between the two types of health insurance and select the better one. 
 
Cost

All that glitters is not gold, similarly buying low price products isn’t always good. Many people become short-sighted when it comes to expense. But, the prudent ones always opt for the products that could actually benefit them in the long-run. The Corporate Health Insurance costs lesser than Personal Health Insurance but comes with some limitations. The benefits offered under the personal plans are much more than offered under the corporate plans, which ultimately proves the former as more value for money product.

Choice 

The corporate or group insurance plans don’t allow customers to customise them, while with stand-alone health insurance products policyholders can buy policies as per their requirements and suitability. Proposers of personal insurance own the freedom to opt for the policy as per their choice, while on the other hand, the corporate policyholders need to accept whatever is provided by the employer. In short, people in the corporate insurance unable to attain the insurance plan accordingly, which later can even fall short to cover some medical aspects. Also, personal insurance holders can port into different insurers, which is not permitted in the corporate insurance plan.  
 
Benefits

It’s said that every health plan offers the same benefits either purchased as personal insurance or offered under the corporate insurance. But, sometimes it is not the case. For example, individuals don’t get No Claim Bonus (NCB) under the corporate health insurance but get it when purchased on a personal basis. Also, if you are covered under a corporate health insurance plan and have not requested any claim but other employee(s) have, then the overall coverage offered to the group could be lessened or exhausted, if the employer is unwilling to enhance the coverage by paying an additional premium on group’s behalf.
 
Job 

The corporate health insurance is applicable only until the employee is on the job. As life is unpredictable, it is quite fearful to imagine a day without health insurance coverage, especially in a scenario when private-sector jobs are hard to save. An economic slowdown, office politics, cost-cutting, retirement and many other reasons could make you out of the job as well as health insurance any day. Therefore, it is always suggested to own personal insurance policy in addition to the corporate insurance plan.  

Also Read

How to switch from group health insurance to individual health cover? 

Secrets to Know About Corporate Insurance Plan

Conclusion

Health insurance plans are always useful, either it’s personal insurance or a corporate health insurance. However, it is suggested to never settle with a corporate health insurance and always carry a personal health insurance to ensure the safety of yourself and your family during a medical emergency. A corporate health insurance is a product offered, but it might fail to cope up with the bigger medical and financial crisis. Whereas in different circumstances of life, such as being jobless, need of an add-on, desire to switch to another insurer and so on, personal insurance will certainly assist you as per your requirements.