Deductible in Health Insurance
What is Deductible?
The total amount that will be deducted from the
claim amount in a policy year. Coverage will start once single / multiple claim
amounts add up to the deductible amount in that year.
For ex. If 50,000/- is the deductible in the
policy, then total claim amount up to 50,000/- will not be payable in that
year.
Advantage of Deductible?
Premium will be almost 30-45% lesser.
Illustration:
Let’s say a family of Husband (aged 42),
wife & 2 children opts for 10 lakhs policy with 50,000/- as deductible.
Annual Premium without deductible: 29,319/-
Annual premium with deductible: 16,126/-
Annual Savings in premium: 13,193/-
Illustration for Claim (s) in a year with deductible:
1st Claim: 50,000/-
Not Paid as the amount is within deductible
limit. Balance Sum Insured: 10 lakhs.
2nd claim: 1 lakh
Paid as the deductible is already over. Balance
Sum Insured: 9 lakhs.
3rd Claim: 40,000/-
Paid as the deductible is already over.
Balanced Sum Insured: 8.60 lakhs
