Kuvera, an investment platform for direct mutual funds, is offering a group health insurance policy to its users and their family members aged below 65 years. The policy, which can be bought without taking any medical tests, starts at ₹900 per month for a cover of ₹50 lakh. ICICI Lombard GIC offers Kuvera’s Group health insurance cover, an indemnity policy.
Generally, group health insurance is a customised policy that a company can provide to its users. While users get high coverage at a lower cost, they need to be cautious while buying group health insurance policies. Neelabh Sanyal, co-founder and chief operating officer, Kuvera, said that their group health policy is tailor-made for Kuvera users. The company has eliminated certain planned medical events like maternity from the group health policy. Besides, there is a waiting period of 30 days once you buy a health policy.” Hence, by customising certain policy features, we can offer lower premiums,” Sanyal said.
“Group health insurance is customised as per the company providing the health policy. This customisation facility is not customer specific because the group insurance cover is designed for the masses and not for individuals,” said Naval Goel, CEO and Founder, PolicyX.com. “The group health insurance cover may come affordable. However, they can cost dear to the policyholder if their group health insurance plan doesn’t fulfil medical needs,” Goel added.
Should you buy Kuvera’s group health cover?
Mahavir Chopra, Founder, Beshak.org, said that insurance coverage offered by most apps and banks is group insurance. Group insurance promises quick, hassle-free coverage, often at meagre costs. The thing to note is that unlike retail individual health policies offering lifetime renewability available in the open market, these group health policies can see pricing can change every year. “There have been several cases where insurers have increased pricing, even withdrawn the relationship when the claims hit the roof in the previous year. Also, the coverage is linked to your membership with the organisation – in case you discontinue coverage, you may lose the coverage,” said Chopra.
Health insurance is a lifelong product that everyone needs throughout their lives without compromise. Goel said, “A policyholder can continue a retail (individual) health insurance with the timely payment of premium without any worry. On the other hand, the continuity can be uncertain in the group health insurance cover as if it gets cancelled or withdrawn at some point and then there can be a scenario that the policyholder may or may not get another health insurance plan due to health factors or increasing age.”