A Health insurance top-up is an additional insurance policy that you can purchase to add-on your existing health insurance coverage. It provides additional financial protection over the coverage limit of your primary health insurance.
How it works:
If you have a health insurance policy with a certain coverage limit ₹5,00,000, and you suffer medical expenses that exceed this limit, a health insurance top-up kicks in to cover the additional costs, up to the limit specified in the top-up policy.
For example , if your primary health insurance covers up to ₹5,00,000 and you purchase a top-up plan with a coverage limit of ₹2,00,000, your total coverage becomes ₹7,00,000. If you have medical expenses of ₹6,00,000, your primary insurance covers ₹5,00,000, and the top-up plan covers the remaining ₹1,00,000.
Top-up plans often come with a deductible, which is the initial amount you need to pay from your pocket before the top-up coverage begins. This type of insurance is beneficial for individuals who want to enhance their coverage without buying a more expensive comprehensive health insurance policy.
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