Indemnity Health Insurance Plans
General insurance companies usually sell health indemnity policies under which they reimburse the hospital bill on the basis of sum insured and policy sub-limits. However, one needs to be in hospital for at least 24 hours for filing a claim under these plans. These are typically one-year contracts (now some insurance companies are also start selling two years plans) and have to be renewed every year.
Defined Benefits or Fixed-benefits Health Insurance Plans
There are critical illness plans and personal accident policies, which have fixed-benefits. Here, the policyholder gets a predetermined sum, when diagnosed or accident happens.
1. Hospital cash-benefit Health Plans
2. Accident Plans
3. Critical Illness Plans
Unit-linked Health Insurance Plans
Some life insurers also sell unit-linked health plans. These contracts can be of longer duration and part of sum insured invested in the units. e.g. LIC’s Health Protection Plus