The ongoing pandemic has reinforced the importance of having health insurance protection with adequate coverage. Coverage what seems adequate today, might not be sufficient after a few years because of the inflation in medical cost. Basically, Super Top Up is a solution for a larger cover at relatively less price.

Deductible in Top Up policy: If the claim amount crosses a particular limit only then the Top Up policy comes in force. e.g., if deductible in your policy is 5 lacs and claim amount exceeds 5 lacs then only Top Policy will trigger.

Why Super Top Up?

• E.g., Family floater for age 40 years – 2 Adults + 1 Child premium for Base policy SI of 5 lacs is Rs.18,000
• Now if you want to increase the Base SI from 5 lacs to 25 lacs then premium will increase from 18,000 to 40,000 i.e., increase of 22,000 which can increase your budget substantially.
• What if this increase of SI from 5 lacs to 25 lacs can be done with Super Top Up policy of 20 lacs over & above base policy of SI 5 lacs? Premium can be hardly 5,000 for 2 Adult+1 Child for family floater SI of 20 lacs & deductible of 5 lacs.
• So, with a minimal cost you can optimize your coverage with Super Top Up.

Super Top Up Vs Top Up

• Top Up policy will trigger only if in a single claim or hospitalization the entire deductible limit is exhausted.
•  Whereas for Super Top Up if total amount of multiple claims in a year crosses deductible limit even then the policy will trigger.
•  E.g., Deductible is 5 lacs and Sum Insured of Top Up is 10 lacs. 1^stclaim 3 lacs & 2^nd claim 3 lacs so total claim amount in a year is 6 lacs.
• Here since none of the times claim amount has exceeded deductible of 5 lacs so Top Up policy will not trigger at all.
• However, Super Top Up will trigger and pay for balance 1 lac over & above base policy SI of 5 lacs. Also balance SI will be 9 lacs which can be used for future claims in same year.
• Hence, Super Top Up is more beneficial than Top Up.

Checks when you buy Super Top Up policy:

• Waiting period:
  It is like purchasing a new health policy and so it will have its own waiting periods for first 30 days sickness, 1 or 2 years for certain diseases and 3-4 years for pre-existing diseases.
• Deductible:
  Select deductible of Super Top Up based on the base policy SI. e.g., if your base policy SI is 5 lacs then go for deductible of 5 lacs in Super Top Up. Do not keep any gap here.
• Risk Start Date:
  It is good to have Risk Start Date of both Base & Super Top Up policy on same date however there is no such compulsion.
• Different insurer:
  Insurance company can be different for base & Super Top Up policy; only thing is that you have to do claim intimation to two different companies. So, you can go for Super Top Up which suits your budget & requirement.

Stay insured. Stay safe.

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Birju Shah – Founder, Customer First Marketing Services
We provide tailor-made solutions in Health, Life, Motor & SME insurance.
You can reach me on ops@customerfirstmktg.com & Mobile No. 859-1314-007