HomePersonal FinanceHealth InsuranceArogya Sanjeevani Policy - Standard Health Insurance Policy - Review

Arogya Sanjeevani Policy – Standard Health Insurance Policy – Review

Arogya Sanjeevani Policy is standard health insurance policy proposed by IRDAI. Let’s take a look at features and benefits offered by Arogya Sanjeevani Policy.

As you are aware that the cost of medical expenses is skyrocketing and one cannot afford to live without health insurance. When you decide to buy a health insurance policy, you come across multiple options. Many companies are offering a health insurance policy. All these policies have different features. So, it’s become difficult to identify Best Health Insurance Policy. To help you as well as first-time health insurance buyer IRDIA has proposed a standard health insurance policy. This product is named ‘Arogya Sanjeevani Policy’ followed by the name of the insurer. Suppose this policy is offered by HDFC ERGO it will be called as Arogya Sanjeevani Policy – HDFC ERGO. The standard features and benefits offered by this policy are given below.

Also Read – Top 5 Best Health Insurance in India

Who can buy the policy from whom?

Anyone with age in between 18 years to 65 years can purchase this policy. This policy can be purchased as an individual policy or family floater policy. Family floater policy covers the entire family.

Family means Spouse, father, mother, parent-in-law as well as dependent children between 3 years to 18 years of age.

If a child is above 18 years of age and independent, then he/she is not eligible to be included in a family floater policy.

This policy will be available at most of the health insurance companies from 1st April, 2020.

Key features of Arogya Sanjeevani Policy

Arogya Sanjeevani Policy

# Sum Assured – The minimum sum assured under this policy is 1 Lakh and maximum sum assured is restricted to 5 Lakh.

# Validity of Policy – The validity of this policy is one year and you need to renew this policy every year by paying yearly premium. You can renew this policy lifelong. This means this policy provide lifelong health coverage.

# Plan Type – The policy can be purchased as an individual plan or family floater plan. The standard features will remain the same for an individual as well as a family floater.

# Rider – This policy does not offer any additional rider, such as critical illness cover, etc.

# Premium Payment – The premium of this policy can be paid yearly, half-yearly, quarterly or monthly.

# Cashless Benefit – You can get cashless benefits under this policy.

# Minimum & Maximum Age – The minimum age is 18 years and maximum age is 65 years.

# Waiting period – 30 days of waiting period. No claim will be paid in first 30 days after buying policy. Most of the illness have only one year of waiting period.

# Co-payment – A fixed co-pay for 5% is applicable for all ages in this policy.

# Portability – This policy offers portability. This means you can switch to other health insurance companies under this plan.

# Ambulance Charges – You will get ambulance charges up to Rs.2000 per hospitalization under this plan.

# Pre & Post Hospitalization – This plan offers 30 days pre-hospitalization and 60 days post hospitalization coverage.

# Ayush Treatment – This policy covers Ayurveda, Yoga, Naturopathy, Unani, Siddha and Homeopathy treatment.

# Sub Limits – For hospitalization expense like room, nursing expense up to 2% of sum assured and maximum Rs.5000per day. ICCU expense cover up to Rs.10000 per day. Cataract Surgery is covered. However, maternity coverage is not available.

# No Claim Bonus – No claim bonus is 5% for each year up to 50% of sum assured cover.

# Refunds – You can cancel this policy up to 6 Months. If you cancel this policy up to 30 days you will get 75% premium refund. Up to 90 days you will get 50% premium refund and up to 6 months you will get refund up to 25%.

Benefits of Arogya Sanjeevani Policy

  • Arogya Sanjeevani Policy is a combination of all standard features of health insurance including life-long renewal.
  • Refund and cancellation of policy is allowed up to six months. You will also get a refund of premium in case you cancel the policy.
  • As it is standard plan with recommended features by IRDIA demand of this policy will be high. Insurance companies will keep premium of this policy low to attract more customers.
  • This plan provides portability and also covers AYUSH Treatment.

Should you buy Arogya Sanjeevani Policy?

Looking at features and benefits it seems to be a very good policy. However, you need to consider the following points before buying this policy.

Arogya Sanjeevani Policy is a standard health insurance policy available for a common man. However, it comes with a maximum sum assured of 5 Lakh. Looking at growing medical expenses the sum assured seems to be lower. It is recommended to opt for minimum 10 Lakh sum assured for the family.  You can address this concern by purchasing multiple Arogya Sanjeevani Policies.

The plan has a co-payment clause of 5%. This means you need to pay 5% of the total claim amount from your pocket when you apply for the claim.

This plan has sub-limits for hospitalization expenses. Such as nursing expenses up to 2% of sum assured or maximum Rs.5000 per day. For ICU maximum permissible limit is Rs.10000 per day. This could be major drawback.

You can select your own insurance company while buying this policy.

Overall it seems to be very good plan. But, we need to wait and watch till the premium of this policy is declared by health insurance companies.

Shitanshu Kapadia
Shitanshu Kapadia
Hi, I am Shitanshu founder of moneyexcel.com. I am engaged in blogging & Digital Marketing for 10 years. The purpose of this blog is to share my experience, knowledge and help people in managing money. Please note that the views expressed on this Blog are clarifications meant for reference and guidance of the readers to explore further on the topics. These should not be construed as investment , tax, financial advice or legal opinion. Please consult a qualified financial planner and do your own due diligence before making any investment decision.