How to Select a Health Insurance Policy with Restoration Benefit?

Each year, the importance of health insurance policies is growing, with an alarming number of health ailments gripping people. With that being a reality in today’s day and age, health insurance is no longer an additional buffer, but in fact, a necessity to tackle unexpected medical exigencies. Furthermore, medical inflation is also steadily rising each year and thus is necessary to purchase a health insurance policy keeping in mind the future cost of these treatments.

But what if your policy coverage falls short, or you consume the entire sum insured in a policy period leaving none for the remainder of the tenure? Do you need to buy a new insurance cover altogether? Well, fret-not. Restoration benefit is a feature offered by most insurance companies that reinstate the sum insured on exhausting a specified amount. This feature is provided not only for individual plans but also for health insurance plans for families. Restoration of your health insurance coverage comes in handy when repeated treatments during the same policy year. It is an outstanding feature to opt for in a family floater policy, considering the entire coverage floats among the various members of the family.

The restoration benefit is available in two kinds—complete exhaustion restoration or partial exhaustion restoration. As the name suggests, a comprehensive exhaustion cover comes into the picture when the entire sum assured is exhausted and is commonly offered by most insurance companies. However, a partial exhaustion feature is where even if a certain percentage of sum assured is used, the insurance company reinstates the coverage to the original sum assured. This comes in handy when repeated claims are made under an individual health plan. * Standard T&C Apply.

Now that you know the different kinds of available restoration facilities let’s select one.

Restoration cover is an additional feature offered by the insurance company, thereby increasing the premiums. However, the benefits provided outweigh its cost. There is no one factor, but many that together come into the picture when selecting a restoration benefit in a health insurance policy:

• The restoration facility cannot be rolled over to the following policy tenure, even if no utilization is made in the current period. So, even if you do not raise any claim, it cannot be carried forward to the subsequent period.
• The restoration feature kicks in when you exhaust the sum assured in a single claim during the policy period.
• This restoration benefit applies to all sum assured and is not limited to the higher ones.
• This policy feature, when purchased, applies prospectively to any claims made.
• This feature is available at different periods in the case of a family floater plan, i.e., no two beneficiaries at the same time can claim the sum assured as per restoration benefit.
• Some policies limit the use of restored sum insured to cover ailments other than those already paid for, while some allow the same treatment to be available again. * Standard T&C Apply

These are some tips that you must remember when selecting a policy with restoration benefits. These plans allow additional sum insured to be used under the same procedure as the original by restoring the amount claimed. So, keep in mind these benefits and then purchase a policy as per requirement. Also, remember, insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.