- Insurance

Why Is It Better to Have Two Health Insurance Policies Than One?


Medical inflation is steadily rising each year and a policy bought a decade ago may not always be sufficient—both in terms of coverage as well as sum insured. That’s when a second health insurance policy must be considered. There is no restriction to buying a second health insurance plan if you already have purchased one. So, you must not ignore the importance of a second insurance cover.

Investing in multiple health insurance plans helps to provide a comprehensive insurance cover in addition to your existing insurance policy. It not only extends the protection offered by your policy but also helps to mitigate the risk that your existing plan does not cover. Hence, it is essential to wisely choose a second health insurance plan.

What are some situations you must consider buying a second health insurance plan?

The first situation when you must consider buying a second health insurance plan is when you have a corporate or group insurance plan from your employers. Since this health insurance policy remains active only till the time you are in employment, no coverage is available after retirement or due to a change in employment. In these situations, a second health insurance policy comes handy to offer financial cover even after retirement.

Another situation when a second health cover must be selected is when your existing insurance policy’s sum assured is adequate considering the present cost of healthcare. A top-up or super top-up cover is what is effective in such situations. These covers can either be purchased in addition to your existing policy or even as standalone plans.

How can you benefit by buying a second health insurance policy?

The following are some noteworthy benefits of a secondary health insurance policy:

Hedge against rejected claims

A claim being rejected would mean the entire financial burden rests upon the insured and its family members. While it can be financially draining, the entire purpose of seeking health insurance cover gets defeated. In such situations, a second insurance policy, be it an individual or a family health insurance plan comes in handy. If the claim is originally rejected by one insurer, a second insurance policy acts as a hedge against such rejection.

*Diversification of coverage

When you buy two insurance plans that cater to different medical needs, you can attain diversification of coverage. For instance, your individual policy covers ailments that include hospitalization, but in case of a life-threatening illness, a critical illness policy is what comes to the rescue. This way, diversification of coverage can be attained when you buy two insurance plans with mutually exclusive coverage.

*Affordable premiums

A policy with minimum coverage is often available at an affordable price. Similarly, a second policy with such minimal coverage can be bought to cover different ailments yet keep the premiums at a pocket-friendly price. In addition, many smaller plans in aggregate make up for a wider coverage without burning a hole in your wallet. To check how different plans in aggregate impact the premium, you can use a health insurance premium calculator. *

* Standard T&C Apply

With the different situations when an additional insurance policy can be bought, you can enhance the overall scope of your plan thus helping increase the insurance cover. Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read sales brochure/policy wording carefully before concluding a sale.

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