Blog
Health insurance is a financial plan that helps you pay for medical expenses such as doctor visits, hospital stays, surgeries, medicines, and other healthcare services.
Instead of paying the full cost yourself, your insurance company shares or covers the expenses based on your plan.
How Health Insurance Works
You Buy a Health Insurance Policy
You choose a health insurance provider (like HDFC Ergo, Star Health, LIC, etc.). You select a plan based on your needs — individual, family, or corporate. You pay a premium (monthly, quarterly, or yearly) to keep the policy active.
You Get a Health Insurance Card
After buying the policy, you receive a Health ID card. This card works like proof of your insurance — you’ll show it when you visit hospitals or clinics.
You Fall Sick or Need Medical Treatment
When you need treatment, you can go to: A network hospital (partnered with your insurer) for cashless treatment, or A non-network hospital, where you’ll pay first and get reimbursed later.
Hospitalization & TreatmentHospitalization & Treatment
At the hospital, you show your health card and ID proof. The hospital contacts the insurance company for approval of treatment costs (called pre-authorization).
Claim Process
Cashless Claim You don’t pay the bill directly. The insurance company pays the hospital on your behalf. Reimbursement Claim You pay the hospital bill yourself. Then, submit all bills and documents to your insurance company. The insurer verifies and refunds your expenses.
Insurance Company Pays
The insurance company pays the hospital or reimburses you according to: Your sum insured (maximum amount covered per year) The type of treatment covered Terms & conditions of your policy
Benefits of Health Insurance
Protects your savings from medical expenses
Offers cashless hospitalization
Covers pre- and post-hospitalization costs
Provides tax benefits under Section 80D
Gives peace of mind during health emergencies
Our blog post
Read our latest blog
Eldeco Infrastructure files draft papers with Sebi for ₹1,000-cr
Posted By Equity Unlisted 
10/04/2025