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TOP-UP AND SUPER TOP-UP POLICIES

 Top-up and Super top-up policies for additional  medical cover
 Top-up and Super top-up policies for additional  medical cover

PLAN YOUR MEDICAL INSURANCE

No one should have to choose between medicine and other necessities. No one should have to use the emergency room every time a child gets sick. And no one should have to live in constant fear that a medical problem will become a financial crisis.
- Brad Henry

WHAT IS TOP-UP POLICY AND SUPER-TOP-UP POLICY ?

Top-Up and Super Top-Up policies are additional health insurance plans designed to provide extra financial protection beyond your primary health insurance coverage. They act as a safety net, offering a significant sum of money to cover expenses that exceed your base policy's limit.

Top-Up Policy

  • How it works: Once your primary health insurance policy's coverage limit is exhausted, a top-up policy kicks in, providing a lump sum payment to cover the remaining costs.

  • Key features:

    • Requires a base policy to be in place.

    • Offers a fixed sum of money as a top-up.

    • Often has a deductible, meaning you need to pay a certain amount out of pocket before the top-up coverage is activated.

Super Top-Up Policy

  • How it works: Similar to a top-up policy, a super top-up policy activates when your primary health insurance coverage is exhausted. However, it offers a more flexible and comprehensive approach.

  • Key features:

    • Requires a base policy to be in place.

    • Offers a cumulative sum of money to cover multiple claims within a policy year.

    • May have a deductible or a waiting period.

Example:

  • Your primary health insurance has a coverage limit of ₹5 lakh.

  • You have a top-up policy with a coverage of ₹10 lakh.

  • If a medical emergency costs ₹12 lakh, your primary policy will cover ₹5 lakh, and the top-up policy will pay the remaining ₹7 lakh.


Benefits of Top-Up and Super Top-Up Policies

  • Enhanced financial protection: They provide a significant sum of money to cover high-cost medical treatments.

  • Cost-effective: They can be more affordable than increasing your base policy's coverage limit.

  • Flexibility: Super top-up policies offer more flexibility with cumulative coverage.

Considerations:

  • Deductibles and waiting periods: Be aware of any deductibles or waiting periods that may apply.

  • Coverage limits: Ensure the top-up or super top-up coverage is sufficient for your needs.

  • Premium costs: Compare premiums from different insurers to find the most suitable option.

By understanding the differences between top-up and super top-up policies, you can make an informed decision about how to enhance your health insurance coverage and protect yourself financially in case of unexpected medical expenses.

What is the exact difference between a top-up policy and super top-up policy ?

The key difference between a top-up policy and a super top-up policy lies in their coverage structure:

Top-Up Policy:

  • Single-event coverage: Provides a fixed sum of money to cover expenses that exceed your primary health insurance policy's coverage limit for a single event or illness.

  • Non-cumulative: Once the top-up amount is used, it cannot be used again within the policy year, even if you have other medical expenses.

Super Top-Up Policy:

  • Cumulative coverage: Offers a cumulative sum of money to cover multiple claims within a policy year, up to a specified limit.

  • Flexibility: Provides more financial protection for individuals with multiple medical expenses or recurring health conditions.

Example:

  • Top-Up Policy: If your primary insurance covers up to ₹5 lakh and you have a top-up policy of ₹10 lakh, you can only use the ₹10 lakh once during the policy year, even if you have multiple medical expenses.

  • Super Top-Up Policy: If your primary insurance covers up to ₹5 lakh and you have a super top-up policy of ₹20 lakh, you can use the ₹20 lakh cumulatively throughout the policy year to cover multiple claims, up to the maximum limit.

In summary, a top-up policy provides a single lump sum payment for a single event, while a super top-up policy offers a cumulative sum for multiple claims, providing greater flexibility and protection for individuals with recurring medical expenses.

As super top-up policies provide better benefit of multiple claims , they are popular with the genral public

Some Examples of Super top-up policies :

Most health insurance companies,that offer regular health insurance policies , also provide Super Top-up policies. For further details, you may contact the health insurance companies on their websites or through their agents.

  1. Bajaj Allianz Super Top Up Policy:

  1. Niva Bupa Health Recharge Family Floater

  1. Star Health Super Surplus Plan

4 .ICICI Lombard Health Booster Policy

Some Examples of top-up policies :

  1. Bajaj Allianz’s Extra Care Plus

PREMIUMS FOR HEALTH INSURANCE POLICIES : COMPARE BEFORE BUYING

To buy a Health insurance policy , you have to pay a fee called premium to the insurance company affront . Now IRDAI has allowed the monthly / quarterly / half yearly payment on the policies . Each insurance policy carries its own premium to be paid for a person of particular age . As each insurance policy was differing in coverage / inclusions / exclusions / co-pay / pre-existing diseases coverage / waiting period etc , it was difficult to compare the premiums of two policies even when the covered amount is same .

To mitigate the problem , Insurance Regulatory & Development Authority of India ( IRDAI ) has come up with standard policies to be mandatorily issued by all general and health insurance companies that deal in Health insurance . While terms & conditions will be same , premiums can differ .

When you compare , you will come to know the actual variation in premium of each policy issued by various insurers . Hence it is prudent for you to get quotes from as many as possible companies before deciding on a insurance policy . Otherwise you will end up with paying a huge premium .