Group Health Insurance
‘Group Health Insurance’ is a type of insurance that essentially covers the hospitalisation expenses of your staff and may be their family members. Group health insurance policy like other policies is a contract between an insurer and a group in which the insurer agrees to provide specified health insurance cover at a “premium” subject to terms and conditions specified in the policy.
Nowadays Group Health Insurance is an effective tool used by HR deptts for employee retention. Compared to an Individual/Family health insurance policy, group health policy offers wider cover at a lower premium. A defined group may take this policy for the benefit of their members.
What is covered and what is not?
Medical expenses incurred under various heads like room, boarding expenses, nursing fees, doctor’s consultation, investigation, medicines etc. The insurance policies are effected to cover the contingencies, therefore any pre-existing diseases are excluded from the scope of the policy. Cosmetic treatments, dental treatments, expenses related to pregnancy and childbirth, circumcision etc are some of the other exclusions of the policy. However in the group policy some of these exclusions can be covered by paying extra premium.