Much as we desire, we cannot eliminate health issues from our life. The biggest problem to the treatment is the rising medical costs which are rising at about 20% per year. It is making medical treatment unaffordable to many. But it can be made affordable by opting for a health insurance plan. One needs to get a comprehensive health plan to protect his family from any medical emergencies.
Many get assured of this cover by the corporate insurance provided to them by the organization they work with. Unfortunately, very few understand how a corporate medical health policy works and whether it is adequate to protect you and your family. Here, we investigate and understand as to why a corporate insurance might not prove adequate and you should have a separate health policy as well. Read on!
- Corporate coverage remains only till your job tenure
This is perhaps the most compelling reason for you to have a separate health policy for you and your family. The corporate health insurance keeps you insured as long as you are working for the brand. There is a rare person who starts his career with a company and ends his career with it only. Most would switch to a different company for a better career opportunity. This means you lose out on health cover and might end up with no cover as the new company might not offer Corporate Health Insurance.
Moreover, there could be a gap between jobs and you might face a medical emergency during that time. You would find yourself without any cover during that time. But you can only be saved if you have personal insurance at that time.
- Persons covered under the policy
The corporate health policy offered to you may or may not cover your family and dependents. If we look at the Indian scenario; almost every individual needs to look after his spouse, children and even old parents and in some instances, siblings. Hence, you would need to foot the medical bill if any of them need medical treatment. Since most corporate health policies cover only the employee; it arises the need to get a personal health cover that covers your family adequately.
- Inadequate sum insured
Today, the lifespan of an individual has increased. This implies that rising medical costs and inflation keep eating away from the sum insured. Now corporate health plans are tailor-made with the employer’s perspective. The sum insured is decided by the corporate plan, number of employees and various other factors. Most often, this sum is even inadequate for an individual. Moreover, the plan is often stagnant and nor revised taking the present conditions in mind. Hence, you might find yourself footing most of your medical emergency bills which can be a daunting task without a personal health cover.
- The corporate health plan is a perk and not a right
Corporate health plans are rolled by employers to keep their employees happy and increase their retention rate. But it is not compulsory for any company to offer health insurance to its employees. The company can withdraw this benefit any time without any notice to its employees. They would not face any legal ramifications. Thus, you do not have any assurance of protection at all times. Hence, it’s better to get a personal cover that will always be there and give you peace of mind.
- The fine print is often restrictive
Most of the corporate health insurance has plenty of other conditions that restrict the corporate’s responsibility to you. It might not cover costs like the diagnostic tests, ambulance charges, post-hospitalization costs, etc. Hence, it best to have a personal health cover.
- It cannot be customized
Every individual has different requirements from their health policy. In an individual health plan, you can tailor it to suit your needs like deciding on the sum insured, deciding on the deductible, co-pay, adding on extra covers as riders, etc. But a corporate health plan does not take any need and requirements of yours into consideration. It is a one-size-fits-all for all its employees. This is a serious drawback with a corporate plan.
- Post-retirement coverage is missing
No matter how long you remain associated with a company; you need to retire after a certain age. Your health coverage ends with the termination of your job and you end up with no health cover at retirement age. You would need to buy a fresh cover at that age. It could prove highly expensive and even unaffordable at that time. Hence, getting a private health plan is a smarter idea.
None can deny that corporate health cover is an attractive feature that offers you several benefits. But it is not ironclad. It must always be supplemented with a personal health cover to keep you protected against any medical contingencies.