We all know the importance of health insurance in today’s life, which is full of uncertainties. The changing lifestyle habits have increased the risk of suffering from various diseases. Health insurance plans come in two categories, individual and group health insurance.
A group health insurance is usually common in workplaces where both the employer and the employee are at benefit. Moreover, it is the responsibility of an employer to provide medical protection to every employee. The concept is a win-win situation for both parties.
How is a Group Health Insurance Plan different from an Individual Health Plan?
A group health insurance plan offers medical coverage to a group of people, usually employees, whereas an individual health insurance plan provides coverage for an individual alone. Moreover, the former has a single renewal date for convenience, while the latter comes with a distinct renewal date for each policy that you may have.
A group health insurance covers every individual in the group as per the selected coverage plan despite any pre-existing diseases. When it comes to an individual health plan, an individual’s application can be rejected based on his health condition.
How Does A Group Health Plan Work?
Group health insurance is a master policy that offers coverage to every individual of a group for which you buy the policy. Its terms and conditions, inclusions as well as exclusions are same for every individual insured under it.
However, you must know that a lot of customization goes into designing a group health policy. It’s the insurance company or a broker who works out and customizes the policy based on an organization’s specific needs. Significant factors that are considered include the number of employees, associated risk and financial viability.
Many health insurance companies in India offer comprehensive group health plans with several benefits for both the employer and his employees.
What It Offers
Following are some of the primary features offered by a group health plan:
- No Waiting Period
Most health insurance companies do not have the waiting clause included in their group plans, unlike an individual health plan. An employee can avail the group health insurance coverage from the date of his joining with a firm. This will help him deal with the expenses related to the treatment of chronic diseases.
- Cashless Hospitalization
Health insurance companies have a network of reputable hospitals under them, where a policyholder can avail services without going through the tiring paperwork.
- Pre and Post Hospitalization Expenses
Pre-hospitalization expenses include the cost of medical tests or investigations before a patient gets hospitalized.
Similarly, he may require specific tests to ascertain his health condition after being discharged from the hospital. The related expense is covered in post-hospitalization charges.
A group health policy generally covers pre-and post-hospitalization charges, as mentioned in the policy document of the health insurance company.
- Pre-Existing Diseases
There is no need for prior health check-ups before buying a group health policy. It covers all previous illnesses and their medical expenses. Many health insurance companies even include critical diseases, as well.
The rising cost of medical treatment in India makes it necessary for every individual to buy a health plan. If you run an organization, you must provide your employees with the benefits of health insurance by purchasing a group health plan. It builds the organization’s reputation and motivates your employees to perform better. The group policies also cover the employees’ families at a low cost. Reputable insurance brokers such as SecureNow offer various group health insurance plans at affordable premiums. Depending on a specific budget and number of employees in your firm, choose the best plan right away.