Why should one buy a mediclaim insurance policy? What does it cover?Technological advances and more effective medicines have driven up the cost of healthcare. Think about the enormous medical costs you would incur if you suffered a major accident or were suddenly struck by an illness. Uninsured people live with such risks every day.
Health insurance seeks to shield you from that risk. It provides the much needed financial relief in case you are faced with a medical emergency. The premium to take health (medical) insurance for self and family also gives a tax benefit as it is allowed as a deduction from income under Section 80D of the Income Tax Act. In a contract of health insurance, the insurer provides either direct payment to the institution or reimburses the expenses associated with illnesses and injuries requiring hospitalisation. The insurer normally provides a list of all the diseases and emergency situations covered under the plan.
