Readers' Corner: General Insurance

My daughter's wedding is being held at a resort in Goa next month. I am paying for the guests' travel. Will the event insurance for the wedding also cover any travel-related problems, like flights getting cancelled, etc?

Wedding insurance policy pays for the expenses incurred in the event of cancellation or postponement of the wedding due to various perils. Non-appearance of the guests due to flight cancellation is not part of the coverage under such a policy. However, in the case of cancellation of the wedding, travel expenses incurred by the insured for family members and guests, can be covered as part of expenses, which are specifically declared in the policy.

I have one health insurance cover provided by my employer and an individual one. My claim was rejected under the employer-provided policy. Can I make a claim under my individual policy? Since it has already been rejected once, what are the chances it will be approved for another?

You can definitely make a claim under your individual health insurance policy. The claim would be assessed by the insurer according to the terms and conditions of the policy. One needs to know the reason or the clause based on which your claim was rejected.

Generally, employer-provided health insurance policies are group policies, which cover their employees and dependants. Group policies are mostly tailor-made and are more extensive/comprehensive in coverage as the group size increases. They are characterised by either zero or very low waiting periods. However, there could always be a possibility that the group policy offered by your employer is restrictive in nature, with a waiting period, which could be the cause of rejection of the claim. If you have been holding the individual policy for long and have crossed the initial waiting period, the claim could be admissible.

Should I buy a health insurance that offers coverage for outpatient treatment? Is the premium higher in case of such policies? Will it cover treatment in any clinic or only in network hospitals?

You can definitely consider purchasing a health insurance policy that offer outpatient treatment in addition to inpatient treatment. Such policies are priced higher than those covering only inpatient treatment. You need to examine the terms and conditions of the product, as some insurers do restrict treatment to network hospitals/clinics or apply co-payments out of network. Some products have co-payments/ deductible applicable for all out-patient expenses or some for dental treatments only. Some plans cover only doctor consultations as well as doctor referred diagnostic tests and exclude drugs/medicines while some cover all expenses on outpatient basis. It would be prudent to examine the terms and conditions of such products before purchasing.

I am shifting to another city and plan to take my car with me. Will the motor insurance be valid in the new city?

When you shift to another city, the vehicle continues to be covered under the insurance policy. However, you need to intimate this to the insurer. The insurer may choose to charge additional premium or refund a part of the premium for the own damage part, depending on the risk perception of the new location according to his rating parameters. The continuance of third party cover is automatic.

K G Krishnamoorthy Rao,
managing director and chief executive officer, Future Generali India Insurance, answers your questions

The views expressed are the expert's own. Send your queries to yourmoney@bsmail.in