Maternity Insurance in India
In rural India, more than 86% of the population is not under any health insurance. As for urban India, 82% of the population’s health is uninsured. That means only less than 20% of Indians have health insurance. Now, imagine how many women out of these would be covered for maternity? Very few. In fact, given the situation of such poor health insurance coverage, childbirth becomes expensive for many couples and families.
There are many reasons why so few people opt for health insurance that provides maternity cover. Affordability may be a factor for some, but also awareness about such things is very poor. There is excitement and anxiety in homes that are set to welcome a newborn.
There is advice flowing in from all quarters, from grandmothers to aunts and every other member of the family on what you should or shouldn’t do. As to-be-parents, you often receive opinions on everything from, “The baby should be swaddled only with muslin cloth”, “You should try cloth diapers instead” to “You should go to that hospital”. But unfortunately, there is no advice on getting a maternity insurance plan or a newborn baby cover added to your insurance.
People often forget that the expenses related to motherhood begin from the day a woman gets pregnant. Not only the hospitalization and delivery-related expenses, but post-delivery care is equally essential and expensive. These expenses can push you over the edge if you are not financially prepared.
A sensible approach to tackle these expenses is seeking maternity insurance. Here’s a little guide on what is maternity insurance, why you need it, and how you can get one.
What is Maternity Insurance?
Maternity insurance is a plan designed to cover the maternity and health care cost for expecting mothers and their newborns. Usually, a maternity benefit is provided as an add-on or additional rider with your existing health insurance policy.
A maternity benefit is also often provided by corporations for their female employees, along with their group health insurance policies. However, as with all riders, the coverage provided under maternity benefit has a sub-limit that may not be enough to pay for the entire cost of the pregnancy. In this case, a complete pregnancy health insurance package is an ideal option.
Why do you need Maternity Health Insurance?
In today’s age, not having a maternity health cover is not an option. As much as the new addition to the family is a blessing, the medical costs are a financial burden. Whether you choose a respectable hospital or a maternity nursing home – you will definitely return home with a wad of bills.
Given the increasing complications of childbirth, extended hospital stays post-delivery, medicines and hospital charges – giving birth to your baby in a mid-range hospital will cost you anywhere between Rs. 50,000 to Rs. 1.5 lakh. The cost may increase if the baby is born via a c-section instead of normal delivery or if there are further complications.
The family health insurance plan available at Finserv MARKETS provides coverage of up to Rs. 25,000 for normal delivery and up to Rs. 35,000 for cesarean section, depending on the sum insured.
This estimated lump-sum is not inclusive of prenatal care like fertility treatment, frequent doctor’s appointment fee, diagnostic expenses, medicines and pregnancy-related costs. All these expenses can end up being heavy on your pocket.
Wouldn’t it be nice to bring home a baby without having to exhaust your savings? If you are expecting or planning to have a baby, then a family health plan with a pregnancy insurance cover is a must for you!
At Finserv MARKETS, the maternity health cover is offered as a part of the family insurance plan which comes with many benefits like a huge network of hospitals that allow cashless treatment, swift settlement process with a settlement rate of 94% and customizable plans.
As you can see the maternity insurance cover not only protects you but also provides you with financial security. So, if you are planning to have a baby or are already pregnant, then pregnancy insurance should be the first thing you should pack in your baby bag.
The following table gives an overview of the eligibility criteria for maternity insurance plans in India.
|Minimum Entry Age||Child: One day to 24 years old
Adult: 18 years old or above
|Maximum Entry Age||45 years old|
However, note that eligibility criteria can vary depending on the insurer.
Documents Required to Apply for Maternity Insurance
Parents or soon-to-be parents will need the following documents when applying for maternity insurance.
- Proof of Age: Aadhaar card, birth certificate, passport, school/college passing certificate, etc.
- Proof of Identity: Aadhaar card, passport, driving licence, etc.
- Proof of Address: Ration card, electricity bill, driving licence, etc.
- Medical examination reports of the applicant if they are above 45 years old
- Passport-sized photos
What to Look for in a Maternity Insurance Cover?
When looking for adequate maternity health insurance, here are a few things that you need to take into consideration –
- Coverage of the policy: The policy that you choose needs to provide adequate coverage that caters to all your motherhood-related expenses. This includes hospitalization costs, medications, tests, monthly checkups, and any unforeseen expenses.
- The waiting period of the plan: Many maternity health plans cover with a waiting period of 2-5 years. In simple words, the waiting period is nothing but the amount of time you have to wait after taking the policy to avail the maternity benefits. It is highly advisable to choose a health insurance plan early in life so that you can avail the maternity benefits in the future (as required).
- Clauses: You must go through all the documentation of the policy carefully. Compare the features and benefits offered to you with other plans available in the market. Then choose a plan that best suits your maternity needs.
Key Benefits of Maternity Health Insurance
The comprehensive maternity insurance plan available on Finserv MARKETS offers the following benefits –
- Comprehensive Coverage: A maternity health insurance plan offers coverage for delivery expenses, hospital stays, and medicines that may require in due course.
- Newborn Care: The coverage can be extended to the infant child if in case they are diagnosed with a critical illness.
- Quick Online Application: You can apply for pregnancy insurance on our online platform from the comforts of your home or on the go.
- Ambulance Charges: In case of emergencies, the plan also covers ambulance charges.
- Hospitalization Expenses Covered: All the motherhood-related expenses, which includes post- and pre-hospitalization charges, are covered under the plan.
- Cashless Facility: You can avail cashless payment facility in all the network hospitals.
- Hassle-Free Claim Settlement: The claim settlement process is hassle-free and quick due to a single point of contact throughout the process.
- Claim-Free Bonus: You can gain a 10% additional bonus for every claim-free year.
- Tax Benefits: You can save tax under Section 80D of the Income Tax Act, 1961.
What is Covered in Maternity Insurance?
Maternity health insurance is purchased to ensure that the soon-to-be mother and baby are provided best-in-class healthcare facilities whenever needed. Here are a few things that the maternity insurance covers.
- The policy covers pre- and post-hospitalization expenses.
- The policy extends coverage to the newborn as well. It means the policy will cover the expenses of your baby from the time of delivery to 90 days.
- Most maternity insurance plans in India pay a lump sum benefit if the child is diagnosed with Down Syndrome or Cerebral Palsy. Check with the insurer for the same before making any claims for the mentioned health conditions.
- The policy offers cashless claim settlements at network hospitals. In case the treatment is undertaken at a non-network hospital, follow the reimbursement process and get a claim settlement soon after submitting the requested documents.
Maternity Health Insurance – Exclusions
Every insurance plan comes with certain limitations. Following things are excluded from maternity insurance –
- Follow-up diagnostics during the nine months of pregnancy
- Tonics and vitamins for the mother and the newborn (unless it is a part of the treatment)
- Consultation fees for the routine checkups
It is advisable that the to-be-parents check these clauses before choosing a pregnancy insurance plan that’s most suitable for them.
When Should You Buy Maternity Insurance?
Since, one cannot reap maximum benefits of the insurance plan if bought while being pregnant and as it takes a waiting period of 2 to 6 years – ideally, it should be bought when the couple is planning for a baby. One can avail the health insurance benefits when they’re in between the age of 18 to 45 and if they have a steady paying job.
Maternity Health Insurance Claim Process
Inform your insurer immediately when you are hospitalized for delivery. This way, they can initiate the claim process. The claim settlement can either be cashless or reimbursement, depending on your situation at the given time.
The following table gives an overview of the two claim settlement processes for your understanding.
Cashless Claim Settlement
Reimbursement Claim Process
|You can avail the cashless claim settlement facility when seeking medical assistance at a network hospital.||When availing medical assistance at a non-network hospital, you can proceed to claim compensation with the reimbursement process.|
|Submit and fill the claim application form available at the insurance desk at the network hospital.||Submit and fill the claim application form after discharge, along with the necessary documents and hospital bills.|
|The hospital initiates the claim process and sends the necessary documents to the insurer.||The insurer will assess your claim application and raise a request for additional documents (if needed).|
|Once the claim application is approved, the insurer will settle the amount directly with the hospital.||Once the claim application is approved, the insurer will be compensating the amount into your account.|
Documents Required for Claiming on Maternity Insurance
The following documents will be needed to make a successful claim on your maternity insurance in India.
- Maternity health insurance policy
- Health card (if issued by the insurer) to show at the network hospital
- Proof of pregnancy
- KYC documents for maternity insurance
At times, pregnancies can have complications – for the mother and/or the child. Besides, it is a long journey that includes constant doctor’s visits, medications, tests, and more. In the end, it is all about the baby and mother’s health. So, choose a maternity insurance cover that takes care of the expenses arising during and after the pregnancy.
You can buy maternity insurance as a standalone policy or an add-on cover on your existing health plan. The health insurance plans available at Finserv MARKETS cover maternity in their existing coverage, Make sure you take a look at the inclusions and details of the terms and conditions. Also, the policy provides reinstatement benefits, cashless claim settlements, hassle-free renewals, and more.
Don’t wait! Get a health insurance plan at Finserv MARKETS, right away.
You can read our top blogs to know more about health insurance in India:
Q: I am already pregnant. Can I still get maternity health insurance coverage?
A: Most insurers consider pregnancy as a pre-existing condition, and thus the maternity benefit will not be offered if you are already pregnant. Therefore, ensure that you go through the terms and conditions of the policy before the purchase.
Q: What is covered under the maternity insurance plan?
A: Maternity insurance provides coverage for up to a specific limit. The coverage is for both normal and c-section deliveries. A few insurers also offer pre and post-natal expenses and coverage for the newborn.
Q: How are premiums in pregnancy insurance calculated?
A: Premium amounts are slightly more compared to basic health insurance plans. Since the certainty of a claim being filed under the plan is absolute, the premiums offered are comparatively high. Thus, it is advisable to compare maternity insurance online and choose the coverage that best suits your needs.
Finserv MARKETS, a subsidiary of Bajaj Finserv, is a one-stop digital marketplace that has been created for consumers on the go. It offers 500+ financial and lifestyle products, all at one place. At Finserv MARKETS, we understand that every individual is different. And that’s why we have invested in creating a proposition – Offers You Value. A value proposition that ensures you get offers which are tailor-made for you. We also offer an amazing product range and unique set of online offers across Loans, Insurance, Investment, Payments and an exclusive EMI store. Be it in helping you achieve your financial life goals or offering you the latest gadgets, we strive to offer what you are looking for. From simple and fast loan application processes to seamless and hassle-free claim-settlements, from no cost EMIs to 4 hour product deliveries, we work towards fulfilling all your personal and financial needs. What’s more, now enjoy the same benefits in just one click with our Finserv MARKETS App!