Let's face it...in today's world, health insurance is no more a luxury. With medical expenses soaring higher and higher at twice the rate of inflation every year, paying for them could have you digging deep into your pockets.

What types of health insurance plans are available ?

There is a wide variety of health insurance plans that are available in the market. It is very difficult to provide an apple-to-apple comparison since the coverage differs, the features differ, the benefit amount differs and so do the pricing. Almost all health plans promise cash-less treatment in Network hospitals and reimbursement of expenses when you go to a Non-Network hospital.

No matter which type of health insurance you buy, you'll need to make sure it offers the right kind of coverage for you and your family.

What should be covered ?

• A good health insurance policy provides comprehensive benefits.
• It pays for your room, board, nursing and incidental costs, if you're hospitalized.
• It covers surgeons' fees and related costs associated with the surgery.
• It pays for a doctor's hospital visits, expenses incurred on diagnostic tests and medicines. It also pays for relevant expenses incurred prior to hospitalization, and out-patient treatment cost after the discharge from hospital.

What might be covered ?

When comparing health insurance plans, check to see if they provide additional benefits that you may need, including:

ü   Pre Hospitalisation expenses

ü   Post Hospitalisation expenses

ü   Pre-existing conditions coverage

ü   Daily Hospitalisation Allowance

ü   Critical illness

ü   Nursing Allowance

ü   Day Care Treatment

ü   Ambulance Charges

ü   Cost of Health Check-up

What will it cost ? 

The cost of a health plan varies widely depending on various factors like the age, benefit amount, individual sum insured or family floater, the type of coverage, whether it covers pre-existing conditions or not etc. The premium depends on the features and add-ons and one can see variants like Silver, Gold and Platinum plans with a cost difference of as much as 30% with the same insurance company.

Where can I get health insurance ?

The best way to buy health insurance is through a professional consultant who can give you various options with the Pros and Cons of each plan. Do not fall prey to the jazzy ads in print and electronic media because you should not buy a health plan unless you have explored various options, understood the coverage fully and a neutral source has explained to you the fine print. Indira, Lead Consultant - Health Practice at Dr. Insurance, has the following suggestion, "Health insurance is too complex to be purchased on the net, through credit card offers or from your Bank. After all, you wouldn't like to hear the insurance company refering to the fine print clauses after you or your family member get admitted in the hospital."

How do I decide which plan is the best ?

The best health insurance plan for you is the one that gives you the greatest flexibility and the maximum benefits for the lowest cost. Unfortunately, there's no such thing as a standard health insurance plan. As you would do, while making any major purchase, you need to shop around and get several quotes before choosing a plan. Here are a few points to consider:

• Does the plan cover pre-existing conditions ?
• If yes, what is the waiting period : one year, two years or four years ?
• What are the exclusions in the plan ?
• What co-pays, caps and deductible requirements apply ?
• Whether the company operates through a Third Party Administrator or In-house Health Administrator ?
• Does the plan offer family floater or individual benefit coverage ?
• Does the plan offer No Claim Discount or Cumulative Bonus ?
• Does the plan offer hospital cash to take care of incidental expenses ?
• Does the insurance company have a good reputation for claim settlement ?

"Seeking professional help in buying the right health plan always helps" says Indira, "because nobody wants a nasty surprise from the insurance company after making a claim."