Frequently Asked Question

1) Different between general insurance and life insurance?

General insurance covers non-life assets such as health, vehicle, home, travel, etc. In return for the insurance coverage offered by the policy, the policyholder needs to pay a certain amount of premium to the insurance company.

Life insurance A life insurance policy is an agreement between the insurance company and the policy buyer, wherein the policyholder needs to pay a certain amount of premiums per month to the insurance company in return for the desired coverage for a fixed policy tenure. The life insurance policy provides risk coverage in the form of a death benefit or maturity benefit to the family of the life assured in case of any eventuality during the policy tenure.

2) What is a health insurance policy? Is it different from a mediclaim policy?

A health insurance policy is an insurance coverage that covers medical expenses such as - in-patient hospitalisation costs, surgery costs, emergency ambulance cost, hospital per day allowance, medicines bill etc. of life insured; if he/she becomes sick or gets injured in any accident.

A mediclaim policy, in general, very much similar to a health insurance policy; but it’s ambit of coverage is not as comprehensive as a health insurance policy has. A mediclaim policy pays-out medical expenses towards accident and pre-specified illness, and for specific sum insured; whereas, a health insurance policy covers maximum diseases including critical illness, and accidents as well. A health insurance policy gives you flexibility to review your sum insured and policy term after a specific period; but in mediclaim policy, you can’t.

3) What does a health insurance cover?

A health insurance policy covers expenses that incurred due to the medical treatment/surgery. In order to get the benefits of the health plan, the policyholder has to go for at least 24 hours of continuous hospitalization. There are some day-care procedures that are also covered under a health plan, but you also need to get hospitalized to avail benefits.

Read your policy document to ascertain what is included and excluded under your policy.

 4) What is General Insurance and what are the different kinds of General Insurance?

General Insurance is essentially Non-Life Insurance. It offers protective coverage for assets other than life. Depending on the kind of asset insured, there are different kinds of General Insurance, such as:

Fire Insurance, Motor Insurance, Aviation Insurance, Contractor All Risk, Erection All Risk, Misc. Insurance Etc.

Health Insurance, which insures the health of the policyholder

Home Insurance, which covers residential properties

Vehicle Insurance, which covers automobiles, cars, and other kinds of vehicles, depending on the specific terms of the policy

Travel Insurance, which insures the policyholder against several mishaps/accidents that could occur during travel

5) What is Comprehensive Motor Insurance Policy?

Comprehensive Motor Insurance or Package Policy covers both damage/loss to your vehicle and damage/loss to third-party caused by your vehicle. Besides, it covers against damage due to fire, riots, lightening, natural disaster or malicious act.

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