Page 69 - Ebook health insurance IC27

Sashi Publications

below Rs.30,000, as required vide IRDA micro insurance regulations, 2005.
Often, various self help groups and NGOs take such covers on a group basis
for their members. The IRDA's Rural and Social Sector Obligations also require
that insurers sell a defined proportion of their policies as micro insurance
products, to enable wider reach and spread of insurance.

(k) International Coverage Products - A short term option available for protection
against health contingencies occurring during International Travel are the Overseas
Medical Insurance Plans, which are also packaged as Overseas Travel Plans by
clubbing with other components like loss of baggage cover, flight cancellation
cover, passport loss cover etc. The cost of unexpected medical treatment overseas
is very expensive and can be beyond the means of the traveler.

OMP covers such unforeseen health related contingencies and protect the insured
from the high overseas medical costs. Some countries in fact insist on having a
valid medical insurance as part ofthe visa documentation. Although the sum insured
seems very high in Indian standards, it is in line with the expected high costs in
foreign travel. However, since the probability in the short duration is low, the
premium charged is somewhat affordable.

Recently insurers have designed comprehensive international products which cover
for both International treatment as well as within the country, and are like a global
cover ( not for a short duration). These products are however expensive, as they
have to cover the possibility of high medical costs of other countries, and so this
kind of products may be suitable for small groups of expatriates or frequent
travelers.

Abbreviations :

a) HSA - Health Saving Account

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