October 2021


Understanding the differences between health insurance and critical illness insurance plans

There are essentially two types of health insurance policies – indemnity insurance and defined-benefit insurance plans. The major difference between the two is the type of insurance coverage they provide. A regular health insurance policy is a form of indemnity insurance plan while a critical illness insurance policy is a type of defined-benefit insurance plan.

To understand the differences between these two forms of coverage, let us take a closer look at them.

What exactly are the regular health insurance policies?

A regular health insurance policy covers your hospitalization charges along with pre- and post-hospitalization expenses, laboratory test charges, hospital room rent and even physician fees within policy limits. The money disbursed cannot be used for any other purposes as the amount disbursed goes directly to the partnered hospital in a cashless claim. On the other hand, not making a cashless claim would require you to pay the hospital charges from your own pocket and then send the bill to the insurance company to compensate you for the expenses incurred.

What exactly are critical illness insurance policies?

Critical illness insurance policies cover you against a number of diseases that are a severe threat to life. The list of diseases covered differs from insurer to insurer and one must check whether the illness they are looking to get insured against is actually covered by the insurance company or not. A few of the commonly covered critical illnesses are – major organ transplants, cancer, stroke, kidney failure, first heart attack, primary pulmonary arterial hypertension, heart valve surgery. In a critical illness insurance plan, you get paid a lump sum amount of the sum insured. You can use this amount for any expense you face during your illness from paying for medical treatments that fall outside the sub-limits of your health insurance to your own household expenses.

Equipped with the basic knowledge, you can now understand the differences rather clearly.

What are the differences between a regular health insurance policy and a critical illness policy?

Basis of differentiation Critical Illness insurance Regular health insurance
Premium charged Generally lower but increases with age. Generally higher and increases with age.
Validity Usually taken for 5 to 20 years after which it needs to be renewed. Mostly valid for a year after which policy renewal is required.
Survival period Has a survival period of around 30 days after diagnosis Does not have a survival period but has different waiting periods for initial coverage to commence and for pre-existing diseases
Net insured amount Generally ranges between Rs 5 to 50 lakhs Typically ranges between Rs 1 to 10 lakhs

Which is a better policy out of the two?

Both the policies are unique and complementary to each other. A regular health insurance policy will cover you against the various hospitalization charges, however, it will not be helpful if you lose a source income due to the illness and do not have the money to keep your house running. This is where a critical illness cover can help you by giving you a lump sum amount that can be used anyway you deem fit. Therefore, getting a health insurance policy along with a critical illness insurance standalone policy or critical illness add-on cover is the best way to ensure all-around protection.

We hope this blog helps you understand the basic differences between a regular health insurance policy and a critical illness insurance policy. Do look into family health insurance plans as well to secure your loved ones too.

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How To Secure Scanned Documents

Most businesses have to maintain some form of documentation related to sales, employees, proposals, invoices, business plans and more. Even with careful planning, this can sometimes mean that you have heaps of paper to store.

Not only is this tedious but all the papers and files take up a significant amount of space. Not every business has that much room or wants to store documents in this physical form. The best way to circumvent all these problems is to opt for document scanning services.

The Best Way to secure Scanned Documents

An increasing number of businesses are now choosing to scan various documents. It helps reduce physical file management processes saving you space on your premises.  However, many have questions about how security of this digitization process.

Although document scanning may seem like a cost-efficient solution, you need to consider various aspects such as legal rules.  For example, it isn’t sufficient to simply scan documents via desktop devices to get rid of the physical files and paperwork taking up precious office space.

Once scanned, documents are changed into images/ digital files using special programs. These programs offer optical character recognition that also simplifies the process of searching for them later. This process is similar to producing them on a computer and storing them for access whenever you need them.

Why Opt For A Professional Document Scanning Services?

You must work with a professional company that is certified and qualified to provide safe, quick, secure, and cost-effective imaging or digitalization of documents. These companies also operate within the framework of industry best practices and rules. Let’s take a closer look at the benefits of professional imaging:

  • Time-saving process that helps you keep all your important paperwork at your fingertips
  • Save space and do not worry about renting extra storage space
  • Your staff will get the time to focus on more important tasks at work, making them more productive

As mentioned earlier, just digitization is not sufficient. You must hire a certified supplier if you want them to retain their legal value once you have destroyed the physical documents.

How a Professional Digitization Company Can Help

Certified companies follow many steps, such as:

  • Professionals that handle imaging and digitizing jobs will have all the required surveillance devices at their location to ensure that the processing of your files takes place safely and securely.
  • The experts will check the number of documents, understand your requirements, and assess aspects such as image format, process, black and white, color documents etc. They will consider all these factors to design a custom plan for you.
  • Only a certified and credible company will have the advanced equipment needed to digitize files, blueprints, and books of different types. They will provide all these services under a single roof
  • Once they complete the digitization process, the experts will examine each image using specialized software to ensure its quality and integrity
  • They will then deliver the digital files on any medium you prefer such as- independent secure server, USB key, external hard drive, Blu-Ray, CD-ROM, or DVD,

Secure and Safe Document Storage

The company can also handle destruction of all the physical documents and books three months after the digitization and will issue you a certificate of destruction. The documents that you entrust to the company handling scanning and digitization, will ensure that only authorized personnel have access to them.

They will also store them in a safe and secure location. Always work with a vetted and reputable document scanning company with a good standing in market, as they will handle this job in line with industry standards and legal bindings.

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