Care Health Insurance's Care Freedom plan is designed for people with pre-existing lifestyle diseases such as diabetes, hypertension, and elevated Body Mass Index (BMI).
Key Features and Benefits
Sum Insured Options: Range from ₹3 lakh to ₹10 lakh, structured across Plan 1 and Plan 2 variants.
Waiting Period: Features a reduced 24-month (2-year) waiting period for pre-existing conditions and named ailments.
No Pre-Policy Checkup: Requires no routine medical tests before you buy the policy for Plan 1.
Co-Payment: Requires a 20% co-payment on admissible claims, increasing by an additional 10% to 30% after age 71.
Core Coverages: Covers inpatient hospitalization, day care procedures, ambulance charges, annual health checkups, consumable allowances, and companion benefits.
Restoration Benefit: Provides a 100% automatic base sum insured recharge once annually for unrelated illnesses.
Dialysis Cover: Reimburses dialysis expenses up to ₹1,000 per sitting for up to 24 consecutive months.
What if you need health insurance, but insurers keep rejecting your application because of your medical history?
Care Freedom is one option to explore, but a policy doesn't mean every existing condition will be covered. Its co-payment, treatment limits, and exclusions can leave you with a substantial share of the bill.
So, is Care Freedom worth considering when comprehensive plans aren't an option? In this guide, we'll break down its coverage, restrictions, waiting periods, and premiums to help you decide.
Want to know if Care Freedom is worth the trade-offs? Watch our detailed video review.
Who Is Eligible for Care Freedom?
Care Freedom is primarily designed for individuals with complex pre-existing conditions such as diabetic retinopathy, end-stage kidney disease, or thyroid disorders who may struggle to qualify for comprehensive health insurance plans.
The policy comes in two versions, Plan 1 and Plan 2, which differ mainly in their entry-age requirements and available Sum Insured (SI).
Parameter
Care Freedom Plan 1
Care Freedom Plan 2
Sum Insured
₹3 lakh and ₹5 lakh
₹7 lakh and ₹10 lakh
Adult Entry Age
18 years with no upper age limit
46 years with no upper age limit for an individual or the eldest member of a family floater
Child Entry Age
90 days to 24 years
90 days to 24 years
Care Freedom Health Insurance: Key Features and Riders
Key Features
01
Inpatient Hospitalization and Day Care Treatments
Covers hospitalization expenses for stays of 24 hours or more, including room rent, ICU charges, nursing, doctor fees, surgery, and anesthesia. It also covers day care procedures requiring less than 24 hours of hospitalization, such as chemotherapy, radiotherapy, and eye surgery.
02
Pre- and Post-Hospitalization
Covers medical expenses related to hospitalization, including consultations, diagnostic tests, and medicines. Coverage is limited to 7.5% of payable hospitalization expenses for ₹3 lakh SI and 10% for ₹5 lakh to ₹10 lakh SI.
03
Consumable Allowance
Covers non-medical expenses after the first 3 days of hospitalization, for up to 7 days. You get ₹750 per day with ₹3 lakh cover and ₹1,000 per day with ₹5 lakh, ₹7 lakh, or ₹10 lakh cover.
04
Companion Benefit
Provides a lump sum of ₹10,000 to ₹15,000 once per policy year if hospitalization lasts more than 10 consecutive days.
05
Restoration Benefit
Restores 100% of the base SI once per policy year after partial exhaustion. You can use the restored amount for subsequent hospitalizations for unrelated illnesses.
06
Dialysis Cover
Covers dialysis expenses up to ₹1,000 per sitting for up to 24 consecutive months. However, this benefit does not cover dialysis related to chronic kidney disease diagnosed before the policy started.
07
AYUSH and Domiciliary Hospitalization
Covers Ayurveda, Yoga and Naturopathy, Unani, Siddha, and Homeopathy treatments up to the base SI. Hospitalization at home is covered up to 10% of SI, after three days. However, this benefit excludes treatment for several specified conditions, including diabetes, hypertension, asthma, and chronic nephritis.
Room Rent and ICU Limits
Sum Insured
Room Rent Limit
ICU Limit
Plan 1: ₹3 Lakh
Twin-sharing room, capped at ₹3,000/day (1% of SI)
₹6,000/day (2% of SI)
Plan 1: ₹5 Lakh
Twin-sharing room, no separate room-rent cap
No limit
Plan 2: ₹7 Lakh and ₹10 Lakh
Single private AC room
No limit
Mandatory Co-Payment:
Entry Age up to 70 Years: 20% co-payment on every claim.
Renewing After Age 70: An additional 10% co-payment applies once the eldest insured member turns 71. This increase can be waived by paying an additional 7.5% premium, provided enrollment occurred at or before age 70.
New Entrants Aged 71 and Above: 30% co-payment on every claim.
Cancer, Cardiac, Cerebrovascular, and Specified Renal Treatments
₹2 lakh
₹2.5 lakh
₹3 lakh
Note: Care Freedom has a 2-year waiting period for several serious illnesses, including cancer, stroke, kidney failure, heart conditions, and advanced liver disease. Unlike most comprehensive plans, where this waiting period generally applies to conditions like cataracts and hernias.
Optional Riders
Health Check+: Upgrades the standard annual health checkup to a specialized package. The Diabetes Health Checkup includes HbA1c, blood sugar, kidney, and liver function tests. The Cardiac Health Checkup includes a chest X-ray, treadmill test, and lipid profile. This add-on is mandatory for insulin-dependent applicants.
Care OPD/Good Health+: Provides up to 8 outpatient consultations, including 4 general physician and 4 specialist consultations, subject to applicable consultation limits. It also offers discounts on pharmacy and wellness services.
Home Care: Covers qualified nursing assistance during post-discharge recovery, up to ₹1,000 per day for 7 days per illness and a maximum of 45 days per policy year.
Aggregate Deductible: Allows policyholders to choose a deductible between ₹25,000 and ₹3 lakh to reduce annual premiums. The policyholder must bear eligible expenses up to the selected deductible before the insurer starts paying, subject to policy terms.
Note on Permanent Exclusions
Care Freedom permanently excludes certain existing medical conditions, including unoperated hyperthyroidism, chronic bronchitis, Deep Vein Thrombosis (DVT), and certain kidney stones.
Unlike the usual 24-month waiting period for Pre-Existing Diseases (PED), these conditions remain excluded even after two years. The insurer may also permanently exclude other conditions based on your medical history. Always check your final policy documents to understand what is not covered.
Did You Know?
According to Care Health Insurance's FY 2025-26 public disclosures (NL-47), Care Freedom had 72,062 policies covering 94,028 people, with a reported product-level claim settlement ratio of 95%.
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Care Freedom: Sample Premiums
Profile
Plan Variant and Sum Insured
Premium
Individual, Age 25
Plan 1: ₹5 lakh
₹7,325
Individual, Age 46
Plan 2: ₹10 lakh
₹19,193
Family Floater, Ages 31 and 32
Plan 1: ₹5 lakh
₹10,235
Family Floater, Ages 62 and 63
Plan 2: ₹10 lakh
₹67,573
The premiums are illustrative and calculated for adults living in Delhi (pincode: 110010) for a 1-year tenure. Your final premium will depend on the plan you choose, your age, medical history, location, cover amount, and discounts.
Gross Written Premium / Annual Business (In Crore)
₹8,404
₹4,504
Note: This information is sourced from the IRDAI annual reports and Care Health’s public disclosures and is for the insurer as a whole. To explore more such data, please refer to Ditto Data Lab.
Pros and Cons of the Care Freedom Plan
Pros
Shorter PED Waiting Period: Covers pre-existing conditions like diabetes and hypertension after 24 months, subject to underwriting.
No Routine Pre-Policy Medical Tests: Plan 1 does not require routine pre-policy medical checkups, regardless of entry age, subject to underwriting.
Accessible to High-Risk Applicants: Designed for individuals with existing medical conditions who may struggle to qualify for comprehensive health insurance.
Additional Benefits: Includes annual health checkups, consumable allowance, companion benefit, and dialysis coverage.
Cons
Restrictive Coverage and Co-Payment: Mandatory 20% to 30% co-payment, disease-specific sub-limits, and room restrictions under Plan 1 can increase out-of-pocket expenses.
Higher Premiums: Premiums can be relatively expensive considering the mandatory co-payment, treatment sub-limits, and room restrictions.
No Bonus Benefits: Does not increase your coverage every year, unlike many comprehensive health insurance plans.
Longer Waiting Periods for Serious Illnesses: A 2-year waiting period applies to major conditions like cancer, stroke, heart attack, and kidney failure, unlike most comprehensive plans.
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Ditto's Take on Care Freedom
Care Freedom is best considered a last-resort option for people with severe pre-existing conditions. However, insurers are gradually becoming more flexible with their medical assessments, so don't assume Care Freedom is your only option.
If comprehensive plans aren't available, employer-provided health insurance can offer valuable protection. Care Freedom may also be worth considering, but its mandatory co-payment, disease-specific sub-limits, and room restrictions can lead to significant out-of-pocket expenses during hospitalization.
If suitable individual coverage remains out of reach, consider building a dedicated medical emergency fund and reviewing your insurance options periodically. As insurers update their eligibility criteria and products, better options may become available.
Frequently Asked Questions
Is Care Freedom a good health insurance plan for diabetes and high blood pressure?
Care Freedom is a fallback option for individuals with diabetes or high blood pressure who cannot qualify for comprehensive health insurance. It offers a shorter 24-month waiting period for pre-existing diseases (PEDs) and, under Plan 1, requires no routine pre-policy medical tests. However, mandatory co-payment, disease-specific sub-limits, potential permanent exclusions, and room restrictions can increase out-of-pocket costs. It's better to explore comprehensive plans first before considering Care Freedom.
Does Care Freedom cover people with insulin-dependent diabetes from day 1?
No. Pre-existing diabetes and related complications generally have a 24-month waiting period. Insulin-dependent applicants must also purchase the Health Check+ add-on. However, coverage depends on medical underwriting, and the insurer may impose permanent exclusions or special conditions. Permanently excluded conditions remain uncovered even after the waiting period ends. Always review your policy schedule and endorsements to confirm what is covered.
Do I need a pre-policy medical checkup to buy Care Freedom?
Plan 1 (₹3 lakh and ₹5 lakh) generally doesn't require medical tests, while Plan 2 (₹7 lakh and ₹10 lakh) may require tests based on your medical history. If your application is accepted, Care covers the full testing cost for 2- or 3-year policies and 50% for 1-year policies. However, you'll bear the full cost if your application is rejected or you decline the insurer's counteroffer.
Does Care Freedom restore my sum insured if I use it all in one year?
Yes. Care Freedom includes a 100% Automatic Recharge Benefit that restores your base sum insured (SI) once per policy year after it is exhausted, whether partially or fully. However, you can use the restored amount only for subsequent hospitalizations involving unrelated illnesses during the same policy year. You can't use it for the same illness that exhausted your original coverage. The benefit is also subject to applicable policy conditions and treatment-specific limits.
What does the Health Check+ add-on in Care Freedom include for diabetes and heart health?
The Health Check+ add-on upgrades the standard annual health checkup to a specialized diabetes or cardiac screening package. The diabetes package includes HbA1c, fasting and post-meal blood sugar, urine tests, kidney and liver function tests, lipid profile, thyroid tests, and other assessments. The cardiac package includes chest X-ray, treadmill test (TMT), lipid profile, blood sugar, kidney and liver function tests, and other screenings. The exact tests depend on the package you select.
Can I buy Care Freedom if I have a thyroid disorder or high BMI?
Apply for comprehensive health insurance first, as a thyroid disorder or high BMI doesn't automatically mean you need a specialized plan. Comprehensive policies generally offer better coverage with fewer restrictions. If insurers reject your application for standard plans or offer unfavorable terms, you can consider Care Freedom as a fallback. However, acceptance still depends on the insurer's medical underwriting and approval.
How does Care Freedom compare with Care Supreme for someone with diabetes?
Care Supreme is generally the better option if you qualify, as it offers broader coverage without mandatory co-payment, room-rent restrictions, or disease-specific treatment sub-limits. It also provides cumulative bonus benefits. However, applicants with diabetes must undergo medical underwriting, and acceptance is not guaranteed. Consider Care Freedom only if comprehensive plans like Care Supreme are unavailable, since its mandatory co-payment and treatment limits can significantly reduce claim payouts.
Where can I download the Care Freedom brochure?
You can download the Care Freedom brochure from the official Care Health Insurance website under its downloads section. The brochure provides an overview of the plan’s benefits, coverage options, and key restrictions. However, read it alongside the policy wording and your policy schedule to understand the exact waiting periods, mandatory co-payment, treatment limits, permanent exclusions, and other conditions that apply to your coverage.
