Maternity-insurance

What is Maternity Insurance?

Bringing a new life into the world is a big responsibility, be it a normal delivery or cesarean. The Maternity Health Insurance covers all pregnancy-related expenses from post-delivery care to vaccinations.
Some insurance service providers prefer to provide maternity benefit as an additional service and lowers the burden on your pocket. Some corporates offer their women employees the benefit of maternity insurance along with a health insurance policy. Also, in a majority of corporate group policies, maternity is a rider (add-on benefit) with a sub-limit of not exceeding Rs 50,000.

Points to consider before you pick any maternity policy:

  1. Clauses: Take time and read the documents related to the policy. Be shrewd enough to compare and make your decisions based on all the features, benefits, clauses, terms and conditions before purchasing any plan.
  2. Coverage: The plan you choose must cover pregnancy costs, including hospitalization, medications, tests, check-ups and any unforeseen events.
  3. Waiting period: It is advisable to choose maternity insurance in advance as most policies have a waiting period of 2-5 years. It means you have to wait for a certain amount of time from the commencement of the policy to avail the maternity benefit.

Features and benefits of the plan:

  • The cover is extended to the newborn if diagnosed with any kind of critical illness.
  • Covers the delivery expenses, hospital stay, and even medicines.
  • Pregnancy-related costs, 30 days prior, and 60 days post-hospitalization are covered.
  • Get a cashless payment facility.
  • Fast claim settlements
  • Get up to Rs.60,000 as tax savings under Sec 80D of Income Tax Act.

Inclusions:

  • Covers delivery expenses, which includes the expenditure related to both normal and cesarean delivery.
  • It covers pre and post-natal expenses
  • It includes coverage for the newborn baby up to the expiry of the policy. It covers the vaccination cost incurred for the child during his/her first year.
  • It covers expenses 30 days before hospitalization and 60 days’ post-hospitalization. When there’s a maternity cover in your health insurance policy, then you don’t have to worry about the cost when choosing the hospital or nursing home for delivery.

Exclusions:

  • Doctor’s visit for regular health check-ups is not covered
  • Diagnostic tests, doctor’s consultation, and follow-ups during nine months of pregnancy are not covered.
  • Some plans do not cover diagnostic tests during nine months of pregnancy
  • Tonics and vitamins for the mother or baby (unless part of treatment).
  • The doctor’s consultation fee for a routine check-up

However, these exclusions vary from company to company.

The major downside to these policies is the high premium. The reason these premiums are higher than that of a regular health insurance policy where there’s a high possibility you may not need the cover, maternity insurance covers an almost certain event, and can greatly help lessen its financial impact.

Generally, insurance companies let you enrol or purchase the maternity insurance cover only when you conceive. They do not consider your application if you are already pregnant. Also, maternity insurance policies have a waiting period of 3-4 years before benefits
come into play.

“An ounce of mother is worth a ton of priest.”

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