Transcription of the above video :
Hello, Shailesh from Insurance Samadhan. Today, I would like to write about the sum assured.
How much sum assured you should invest in?We must buy a sum assured of Rs 5 Lakh.
We must buy a sum assured of Rs 5 Lakh. The reason is very simple because below the sum of Rs 5 Lakh, there is a capping of room rent. Earlier, there was a direct linkage, which means whatever sum assured you buy, the 1% of its room rent was allowed. For instance – suppose you buy a sum assured of Rs 2,00,000, then room rent of Rs 2000 would be allowed. But now, capping of room rent is not allowed for the sum of Rs 5 Lakh and above. It is to be noted that the higher the room rent, the higher would be the related expense. So, do not go for the best room. If you are having a sum assured for Rs 5 Lakh and going for a single premium room, then doctor charges or surgery charges, everything is related to the room rent. So, you should always go for the room rent which is in your budget.
Next up, I wanted to mention Restoration. When you exhaust your basic sum assured, then only restoration is allowed. It means that if you take up the sum assured of Rs 5 Lakh and you spent Rs 4 Lakh, then in this case, you will not get restoration. You would have to spend 5 Lakh (sum assured amount) in order to restore, be it individual policy or family floater. Therefore, it is best to go for “Restoration with part”. It means that if you have a sum assured of Rs 5 Lakh and you spent only Rs 3 Lakh, in such a case, for a second disease or treatment, your Rs 5 Lakh is restored. Hence, it is important for customers to ask the agent about the type of restoration plan.
I have already mentioned in my previous blog that if you are going for sum assured, you should always go for the Top-up policy. Now, the top-up is of two types – Base top-up and Super top-up. Let us understand top up! Suppose you have a sum assured of Rs 5 Lakh and your expense is Rs 6 Lakh on a single treatment. In such a case, you will get a top-up of Rs 1 Lakh. It is to be noted that a single claim or single treatment should exceed the sum assured amount to receive top-up. Super top-up allows you to add the subsequent sub-claims.
Let us understand this by an example! In the first treatment, you had the expense of Rs 4 Lakh and In the second treatment, you had the overall expense of Rs 3 Lakh, which added up to Rs 7 Lakh, with a sum assured of Rs 5 lakh. Super top-up facility will provide the base sum assured amount of Rs 5 Lakh and the additional amount of Rs 2 Lakh as well, contrary to Base top-up. Base top-up does not provide such facilities.
Hope this helped you to gain insight about the sum assured!