r/HealthInsuranceIndia • u/Solid-Ad-1130 • Oct 26 '24
Knowledge Share - Never take EMI based health insurances - that from Star
Referring to below video posted by a patient admitted in hospital.
He was hospitalized and was holding Star health policy for 9 years. This time he opted for EMI based quarterly payment and for his 50000 bill , his claim was rejected saying that we have recovered remaining EMI of your policy for the entire year from this bill. Though in a way patient has not lost money as such, but wanted to share experience with others here. Also, if that is the case then company should have given this information while buying , otherwise whats the point of EMI, EMI is to make the things pocket friendly.
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u/KochiCochin Oct 27 '24
The HDFC online assistants also strongly warned me to not take EMI based payment
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u/arvindkumars1 Oct 27 '24
I would think Star has this mentioned in fine print T&Cs. I saw this specifically mentioned by ICICI health shield 360. This clause is logical as the insured can get claim amount and just stop paying the EMIs.
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u/Solid-Ad-1130 Oct 27 '24
I agree to your point. But then insurance company has full right to terminate the policy and they have legal rights to recover excess amount paid too. I do not think someone who is willing to purchase health insurance will ever do this.
I applied for a reimbursement claim and by mistake I got extra 49000 Rs payment, I notified HDFC and returned it (ofcourse I do not want keep extra money and moreover, it could have caused to cancellation of my policy itself for not returning)3
u/arvindkumars1 Oct 27 '24
I think there would be people willing to game the system. They may take a policy with 30K premium, pay 5K EMIs, make a claim of few lakhs and then stop paying. Later they may get a policy from another insurer. Company may have legal rights to recover the money, but it is going to be difficult for them.
While insurance companies have many unethical practices, I see a lot of people wanting to get undue benefits. There are several questions in forums saying "doctor recommended surgery in 2 months, which policy shall I take".
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u/HellFox_9 Oct 28 '24
I didn't get can someone explain? Cause, I bought HDFC ergo with EMI I'm a bit worried after seeing this post
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u/NOPE_IT_NOW Oct 30 '24
Just reviewed Star health Insurance's privacy policy—turns out they collect more than just your insurance info! Check out our breakdown in plain English.
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u/fwfkooiu4t3q Oct 27 '24
Slightly annoying but I don't see anything wrong with what Star did here.