Life Insurance Corporation of India has entered the health insurance business with the launch of LIC Health Plus plan. The first ever health plan from LIC is also the first ever unit linked health insurance plan in the country.
The plan combines health insurance cover for the entire family (husband, wife and the children), hospital cash benefit and major surgical benefit along with ULIP (unit linked insurance policy) component designed to meet domiciliary treatment related expenses for the insured members.
Minimum entry age under the policy is 18 and maximum is 55 and the maximum coverage age is 65. The sum assured one would choose depends on the hospital cash benefit the party needs and the sum assured for major surgical benefits will be 200 times of the HCB. The minimum and maximum HCB depending upon the level of cover opted is Rs 250 and Rs 2,500 respectively. The premium collected under the fund would be invested up to 50 per cent in government/corporate debt and up to 50 per cent in listed equity shares.
A person paying Rs15,000 yearly premium for his family can claim tax benefits under section 80d and can avail major surgical benefits of Rs 5 lakh per member along with hospital cash benefit of maximum of Rs 2,500 per day.
The claim would be settled based on the net asset value of the scheme on that day. "This is not a cashless policy. Third party administrator would help settle the claim on proof of surgery and admission," said RR Rai, zonal manager, LIC.
In he nine month period ending January 31, LIC had sold 2.6 crore policies worth Rs 30,000 crore against last year's collection of Rs 39,000 crore. It has set a target of Rs 52,000 for the whole year. Under the pension and group schemes it has collected Rs 6,000 crore till January and the target for full year is Rs 12,000 crore.