Health insurance typically covers the cost of an insured individual's medical and surgical expenses. Depending on the type of health insurance coverage, either the insured pays costs out-of-pocket and is then reimbursed, or the insurer makes payments directly to the provider.

Health Insurance is generally an annual Insurance policy, renewable every year. The policy covers Hospitalization due to Sickness and Accidental Injury, subject to certain exclusions and waiting periods, which are explicitly mentioned in the policy wordings. You can claim Health Insurance in 2 ways - Cashless or Reimbursement.

Due to skyrocketing inflation, quality healthcare, hospitalization is becoming very expensive. Large hospitalizations which cost lakhs of rupees can seriously burn a very big hole in one's savings or worse, burden one with huge debt. Health Insurance plans help in spreading such a risk to larger no. of people, and hence bring the costs down per person.