Family health insurance policies are crafted to offer affordable financial solutions to cope with health crises leading to hospitalisation, prolonged treatments, medical procedures, and more. With the recent pandemic outbreak and the skyrocketing medical inflation, it’s no wonder that the demand for health insurance plans is at an all-time high. And since ailments don’t discriminate based on age, your entire family needs the financial safeguard via a health insurance plan.
When selecting a family health insurance policy, many prefer Tata AIG due to its comprehensive coverage, which often includes maternity perks and international coverage. However, our concerns arise from the insurer's exorbitant pricing and lack of unique features.
Given that affordability is a key factor driving interest in family health insurance, customers may also have to make a compromise between Tata’s brand equity and the cost of buying one of its plans. So let's explore their top health insurance plans to determine if the purchase is worth it.
| Aspects/Features | Medicare Premier | Medicare | Medicare Protect |
|---|---|---|---|
| Coverage | ₹5 lakhs - ₹3 crore | ₹3 lakhs - ₹20 lakhs | ₹2 lakhs - ₹5 lakhs |
| Affordability | ✔️ | ✔️ | ✔️ |
| Co-payment | ❌ | ❌ | 10% co-pay in case a higher category room is opted for |
| Disease-Wise Sub-Limit | ❌ | ❌ | ❌ |
| Room Rent Restrictions | ❌ | ❌ | Only for a shared room |
| Pre-Existing Waiting Period | 2 years | 3 years | 4 years |
| AYUSH coverage | ✔️ | ✔️ | ✔️ |
| Pre and Post Hospitalisation | 60/90 days 60/200 days (for a Sum Insured of ₹75 lakhs and above) |
60/90 days | 30/60 days |
| Annual Free Health Checkups | Every year | Every 2 claim-free years | Every 3 claim-free years |
| Daycare Coverage | ✔️ | ✔️ | ✔️ |
| Domiciliary Coverage | ✔️ | ✔️ | ✔️ |
| Restoration Perk (only once, up to base sum insured and there is a 45 days cooling off period for the same ailments) | ✔️ | ✔️ | ✔️ |
| No-Claim Bonus | ✔️ 50% - 100% (clawback applicable) | ✔️ 50% - 100% (clawback applicable) | ✔️ 10% - 100% (clawback applicable) |
| OPD Coverage | ✔️ | ❌ | ❌ |
| Maternity Coverage | ✔️ | ❌ | ❌ |
| International Coverage | ✔️ | ✔️ | ❌ |
What are the Best Tata AIG Health Insurance Plans for Families?
Launched in 2001, Tata AIG, a famous general insurance company, has two decades of industry experience. The insurer has a
- Claim Settlement Ratio of 89.07% (an average of 3 years), which is lower than the industry average of 90.97% and
- A complaint volume of 9.48 complaints for every 10,000 claims processed (average of 3 years) is much lower than the industry average of 24.029. However, since the insurer offers motor, general, and other insurances (including health), the low complaint volume can’t be too assuring.
Additionally, policyholders often face challenges with Tata AIG's high premiums, hindering expectations of comprehensive plans at standard prices.
Despite all these concerns, since Tata AIG continues to be a common household name in terms of health insurance, here’s a look at the top 3 family health insurance plans from this insurer -
1. Medicare Premier
Tata AIG's Medicare Premier is a highly comprehensive health insurance policy. It includes no copayment, disease-wise sub-limit, or room rent restrictions. The plan offers a short 2-year waiting period for pre-existing conditions, annual free health check-ups, daycare, domiciliary, compassionate travel, and AYUSH coverage. Additionally, it provides OPD coverage up to ₹5,000 per year (varies as per the sum insured), dental coverage (with sub-lits that vary based on the chosen sum insured), maternity coverage up to ₹50,000 (varies based on the gender of the newborn and the sum insured chosen), and international coverage for ailments diagnosed in India. Despite some terms and conditions for these features, finding such a comprehensive family health insurance plan is a rarity in the market, making it highly appealing.
Drawback: The plan's premiums are a bit pricey, given its coverage for OPD, maternity, and international treatments. Maternity coverage has a 4-year waiting period, while OPD and dental coverage have a 2-year waiting period.
2. Medicare
Tata AIG's Medicare health insurance, version 1.0 of Medicare Premier, is comprehensive, relatively more affordable than Premier, and offers international coverage for ailments diagnosed in India. It features a No-Claim Bonus of 50%-100%, no copayment, no disease-wise sub-limits, no room rent restrictions, and robust restoration perks (however, restoration comes with a 45-day cool-off period for the same illnesses). The absence of OPD, and maternity coverage makes premiums more affordable, making it a better choice for a family health insurance plan.
Drawback: While the plan is economical, the waiting period for pre-existing conditions goes up from 2 years (Premier variant) to 3 years. Moreover, free health check-ups are available only once in 2 claim-free years.
3. Medicare Protect
Although Medicare Protect offers perks like disease-wise sub-limits, AYUSH coverage, daycare, domiciliary coverage, and an Accidental Death Benefit Rider, it lacks comprehensiveness compared to the other variants mentioned above. It can be considered a poor choice among the three plans due to its drawbacks.
Drawback: First, the policy only allows room rent coverage for a shared room with a 10% co-payment in the case you opt for a higher-category room. Second, free health check-ups are available only once in 3 claim-free years. Third, the No-Claim Bonus starts at a measly 10% (although it goes up to 100%). Fourth, the waiting period for pre-existing ailments is an extensive 4 years. Fifth, the policy only has coverage ranging from ₹2 lakhs to ₹5 lakhs.
Now, for a quick comparison of premiums between these 3 plans, let’s say the policy is for a 35-year-old and 30-year-old husband and wife and their 10 and 12-year-old children. The coverage is ₹5 lakhs.
| Plans | Medicare Premier | Medicare | Medicare Protect |
|---|---|---|---|
| Premium | ₹24,351 | ₹21,599 | ₹15,375 |
Conclusion
While family health insurance plans are a significant financial move, you must choose a suitable insurer and policy to fund your family’s healthcare expenses. For a family health insurance plan, you must have extensive coverage since that will be split among your family members. Also, prioritise features like no copayment, no disease-wise sub-limits, no room rent restrictions, unlimited partial restoration, and affordability regarding premiums. Based on these criteria, Tata AIG's family plans may not be ideal, with their unreasonably high premiums for the most comprehensive option. However, if money is no concern, then TATA AIG is a brand you can consider.