Do We Really Need Private Health Insurance Companies?

Do We Really Need Private Health Insurance Companies?

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Yes, having private health insurance companies has created many options for people to choose the best healthcare insurance. Private insurance companies in India are allowed to operate by the IRDAI since the year 2000. Today, people do not have to depend on PSU’s for their medical insurance policy. Private insurance companies are growing daily, and now you can directly purchase online health insurance plans.

How private health insurance companies have become important?

For decades, India’s people have trusted only the public sector companies for health insurance and have been skeptical about purchasing health insurance from private companies. The private insurance companies were given the nod in 2000, and since then, they have been performing well year after year. The coverage and policies offered by private health insurance companies have increased their importance.

Totally Reliable

Unlike before, private health insurance companies are reliable. The money you invest in buying health care insurance from a private company is safe. No private company can run or disappear with your money.

All the insurance providers in India, whether public or private, are governed by the IRDAI. Insurances companies have to strictly follow all the rules prescribed by the IRDAI. The IRDAI will always stand and also take actions beneficial for the customers and not the companies.

Apart from this, setting up an insurance company is also not an easy task. Only companies with immense financial strength can make a way into the insurance market. Regardless of whether a firm is public or private, every insurer in India has to maintain a 150% solvency margin. For example, a company insurers Rs 1000, so it should have a reserve of Rs 1500. With this, the risk of financial loss gets erased, and you can be carefree to buy a medical insurance policy from private companies.

According to the rules of IRDIA, it is necessary for a firm, who does not want to continue doing business to merge with another company and form a merger so that the customers do not face any loss.

Why Private Health insurance companies?

Private health insurance companies offer beneficial features like restoration benefits and added NCB benefits, which are not offered by public sector insurers. Full coverage on medical expenses is made possible by private sector companies when purchasing health insurance plans for family or individual health care insurance from private insurance companies. Private companies also offer a higher sum assured option to beat India’s rising healthcare cost, while public sector insurance companies offer a moderate sum assured.

As per the statistics, private sector health insurers are growing rapidly and earning way more profit than public or government insurance companies. The incurred claim ratio of private medical insurance policy providers is low compared to public health insurance firms.

Online policy purchasing

Private health insurance companies have also entered online markets to sell their medical insurance policies. With India’s internet usage increasing, more and more customers purchase health insurance plans for the family online. Public insurers are still far away from the world wide web, while private insurance companies are cashing through various online platforms.

If you are looking out for your family’s best insurance plans or a medical insurance policy that suits your requirements, connect with future Generali, and we will facilitate you with different medical insurance plans adding to your benefits. Future Generali has a good claim settlement ratio in comparison with other private insurers.

You can even purchase health insurance plans online directly from our website.

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