A regular health insurance plan comes to your rescue only when your medical expenses stay within the upper limit of the plan. However, when the expenses exceed the sum assured, then it is a top-up plan that emerges as your hero. Then again, your normal health insurance cover and the top-up cover will not come in handy if you have to claim more than one hospital bill within the same claim year. This is when you need a super top-up plan.
Super Top-Up Vs. Top-Up: What’s The Difference?
A super top-up health insurance plan covers your hospital expenses in full over and above the threshold of your normal health insurance plan. Unlike a top-up health insurance plan, that covers only a single hospitalisation cost exceeding your regular health insurance threshold, the super top-up health insurance plan covers multiple hospital bills.
Let’s illustrate this with an example.
Let’s say your basic health insurance has a cover of Rs. 5 lakh. Apart from this, you have a choice: you can take a top-up or a super top-up both with a cover of Rs. 10 lakh with a deductible of Rs. 5 lakh.
Let’s say your hospitalisation bill is Rs. 9 lakh.
In this case, your basic cover will pay Rs. 5 lakh. The top-up and your super top-up can both cover the remaining cost of Rs. 4 lakh.
Multiple Hospitalisations In A Year
Let’s say you have been hospitalised thrice in a year with bills amounting to Rs.9 lakh, Rs.2 lakh and Rs.2 lakh.
Your base plan provides Rs. 5 lakh for the first hospitalisation and is exhausted thereafter.
Your top-up provides Rs. 4 lakh in the first, and no coverage in the next two hospitalisations. There’s no coverage in the last two cases because in any claim, the deductible is Rs. 5 lakh – meaning you need to pay up to Rs. 5 lakh using your own funds or other insurance plans before the top-up comes to your aid.
Your super top-up provides Rs. 4 lakh in the first, Rs. 2 lakh in the second, and Rs. 2 lakh in the second.
Why Is A Super Top-Up Plan More Effective?
A super top-up is a cost-effective insurance plan as you can get a substantial cover within a small premium. Availing regular insurance of higher value, say of Rs.15 lakh, will prove to be more expensive than taking regular insurance of Rs. 5 lakh and a super top-up health insurance plan of Rs. 10 lakh.
The more you try to increase your claim limit and make your policy inclusive, the higher will be the premium. Such is not the case with a super top-up health insurance plan. So, if you run the risk of getting hospitalised a number of times during a year then opting for a super top-up health insurance plan is the right decision for you. As always, pay attention to the fine print and any terms that your super top-up may have.
Keep these features of the super top-up plan handy and proceed to sign up for a plan that best suits you. Remember compromising on today’s premiums may not prove to be beneficial tomorrow!