General Insurance will take care of our travel, vehicle, our home and other related issues ( not related to lives) such as accidents, fires, theft etc. The general insurance would include motor insurance, health insurance, travel and home insurance. Here are short descriptions of the their features mentioned below -
1) Home Insurance- Home being a valuable possession, it is always important to secure our home with the proper home insurance and in that way, we can safeguard our homes and other items which are under our possessions remaining at home. It is a policy covering man made and the circumstances where there could be damage or loss of our assets.
2) Motor Insurance Policy- It would provide coverage for the vehicle against damage, accidents, theft etc. This policy has two variants namely third party and the other being comprehensive.
In case of accidents, third party insurance will take care of the harm caused to the party but any damage caused to the vehicle is not covered under this scheme. However, comprehensive insurance will take care of vehicle as well in the event of fire, earth quake, theft, vehicle damage etc by paying a little more for such a policy.
3) Travel Insurance- In case of undertaking a travel, any loss such as baggage loss, trip cancellation, delay in flight would be compensated suitably if a travel insurance is taken.
4) Health Insurance- This insurance is a vital component in our life providing us relief in case of medical emergencies. This plan would cover hospitalisation expenses up to the sum assured. One can opt for standard health policy for self or even to the family members with the undertaking of suitable premium.
While buying health insurance, people commit blunders. One of such blunders is the wrong conception regarding the medical insurance where the insurer thinks that it is a synonym of health insurance though it is not so.
Let us understand the mechanism of Medical Insurance offering you specialised protection against health related emergencies. However the coverage of the Medical Insurance is limited to Rs Five Lakhs per year whereas in the Health Insurance, it might go to the tune of Rs Six crores.
In the Medical Insurance, the coverage is confined to hospitalisation and other expenses in course of treatment are borne by the insurer.
Generally, it comes under pre -decided sum assurance.
Some of the features of the Medical Insurance are as follows-
2) Sum Assured and that will not exceed beyond Rs Five Lakhs per year.
3) Claim Settlement
4) Tax Exemption - This plan offers a tax benefit as per section of 80 D of IT Act of 1961.
Normally Health Insurance Plan are more expensive than the Medical Insurance Plan in terms of premium.
5) Plan Basis - This plan can be purchased on an individual as well as on family floater basis where self, wife, dependant children and the dependant parents are covered.