For many urban professionals, company health insurance feels like a relief. It’s already there, the premium isn’t coming out of your pocket, and it covers hospitalisation. So it’s natural to assume this is enough.
But employer health insurance is designed as a benefit, not as lifelong protection.
The coverage amount problem
Most corporate policies come with a fixed cover, often ₹3–5 lakh. That may sound fine today, but hospital bills in cities rise quickly. A single surgery or ICU stay can cost you more than this amount.
What feels sufficient now may not hold up a few years down the line.
What happens when you change jobs or take a break
Your company health insurance is tied to your employment. If you switch jobs, take a career break, start freelancing, or retire, the policy ends.
This becomes risky if you’re older or if a health condition develops during this gap. Buying a fresh policy later can mean higher premiums and waiting periods all over again.
Parents’ coverage is usually limited
Many companies allow adding parents, but with lower coverage and rising premiums each year. Sub-limits, room caps, and exclusions are common.
As parents age, depending only on office insurance can leave big gaps.
Why having your own policy matters
A personal health insurance policy stays with you, not your job. Waiting periods get completed over time, coverage improves, and you remain protected even if your work situation changes.
The safer approach is simple. Use your employer policy as extra support, but build your own cover alongside it.
What Is a Top-Up Health Insurance Plan and When Does It Actually Help?
A top-up health insurance plan is additional coverage that kicks in only after a certain amount, called a deductible, is crossed.
For example, if you have:
A base health policy of ₹5 lakh
A top-up plan of ₹10 lakh with a ₹5 lakh deductible
The top-up starts paying only after medical expenses cross ₹5 lakh.
Why do people buy top-up plans
Top-up plans are much cheaper than increasing your base cover. Instead of buying a ₹15 lakh policy outright, many people keep a smaller base plan and add a top-up for extra protection.
This works well in cities where hospital costs can spike suddenly.
When a top-up plan actually helps
Top-up plans are useful when:
You already have a basic health policy
You want higher coverage without paying a very high premium
You’re worried about large hospital bills from surgeries or ICU stays
They are especially helpful for families, ageing parents, or people living in metro cities.
When a top-up plan does not help much
A top-up does not pay for small hospital bills that don’t cross the deductible. It also doesn’t replace your main policy. You still need a base health insurance plan to handle regular expenses.
How to use it correctly
Think of a top-up as a safety net for high medical costs. Your base policy handles everyday hospitalisation. The top-up steps in only when expenses become large.
Used this way, it helps you stay protected without overspending on premiums.
