Best Health Insurance Plan in India for NRIs in the UK

If you are an NRI living in the UK  with a health insurance policy with the NHS, your plan does not include coverage for India. So what happens when you travel regularly to India to meet your family for festivals? And what happens when you need health insurance while you’re in India itself? While you can choose to buy a travel insurance plan, finding the best health plan in India for your needs is more beneficial. 

This blog covers everything you need to know about finding a suitable health plan in India as an NRI living in the UK, including why you need one, what to keep in mind, and how to purchase one. 

Why Do NRIs Living in the UK Need a Health Plan in India?

If you are an NRI living in the UK, you need a health plan in India because your UK health coverage does not travel with you. The NHS provides coverage that is restricted to the UK itself, so when you visit India, you end up having no health plan to protect you. If you get into an accident and require hospitalisation in any reputable private hospital, it can cost you several lakhs or more. This is a significant sum to pay out of pocket, specifically when it is unplanned. Having health insurance in India will protect you in such situations. Beyond your own health, there are many other factors that are beneficial for you: 

1. Coverage for Family:

   If you have family members who are your dependents living in India, you can also choose a health insurance plan that provides coverage for them as well. Through this, your plan can provide support to your family members who reside in India whenever required. 

2. Lowered Premiums: 

   As treatment costs in India are significantly cheaper than in the UK, the premium amounts for health plans are also lower and more affordable. By buying a plan in India, you can save relatively more.

3. Coverage During Your Travel in India: 

   As most foreign health plans have strict geographical constraints, your plan in the UK does not cover your hospital visits in India. Having a health insurance plan in India allows you to travel in India and stay for an extended period with peace of mind, knowing that the insurer will help cover your costs. 

4. Global Coverage:

   A large chunk of health insurance plans in India provide global coverage without any geographical constraints. While these plans do come at a relatively higher premium cost than regular plans, they provide coverage for you while you reside in the UK.

5. Tax Returns:

   If you pay taxes in the United Kingdom they are eligible to receive an 18% GST refund on health and term insurance. This is done to prevent dual taxation and helps you save more money. However, if you pay taxes in India itself, then you are eligible for tax reductions under section 80D for yourself and your dependents. 

6. More Plans to Select From:

   There is a larger variety of health insurance plans in India for NRIs, including those that provide global coverage. Having more options gives you the chance to understand your needs and choose a plan that suits you and your family’s needs the best. 

What should you keep in mind when searching for a health insurance plan?

The same services are not always provided by different insurance policies. Here are some key things that you should check before you commit to one plan:

1. Sum Insured: 

   The sum insured is the maximum amount that your insurer will pay in a policy year. Due to the rising medical costs in India's metropolitan cities, keeping a higher amount in mind as your starting point is a good practice. If you have older family members or those with existing health conditions, looking for insurance plans with a higher sum insured is more profitable. 

2. Cashless Hospital Network: 

   A cashless hospital network is an insurer’s preapproved list of hospitals where you do not have to pay out of pocket. Instead, the insurer directly settles with the hospital. In cases of emergencies, this is usually the most useful. It is important to check whether your insurer has a strong cashless network in the city where you or your family are based. 

3. Waiting Periods on Pre-Existing Conditions: 

   Most health plans in India have a waiting period for pre-existing conditions. The waiting period can usually range from one to four years. This basically means that at the time of buying the policy, if you have a chronic condition, then the claims that are related to that condition will not be covered till the waiting period has been completed. Generally, the shorter the waiting period, the more helpful it is. If you or your family member has a chronic condition, it is important to read this section of the policy carefully before making your decision. 

4. Claim Settlement Ratio:

   The claim settlement ratio is the percentage of claims that an insurer settles out of the total claims that they receive in a year. If the claim settlement ratio is 85%, then basically out of 100 claims in a year, the insurer successfully settled 85 of them. This is why health insurance plans with higher settlement ratios are better. 

5. Sub-Limits:

   A lot of insurance plans cap how much they cover per day for specific things, such as room, particular surgeries, or non-medical expenses like toiletries. If these items cost more than the cap they have stated, then you pay the difference. For example, if your room rent exceeds their cap, then your overall reimbursement can be significantly impacted. It is crucial to look for plans with lower sub-limits based on your and your family’s requirements. 

6. No-Claim Bonus:

   If you do not make any claims in the policy year, a lot of insurance plans make you eligible for a no-claim bonus. This basically increases the sum amount insured for the next year or provides you with a lower premium cost. Both are useful to have, especially if you are buying a plan for the long term. 

What Types of Health Plans Exist in India for NRIs?

Once you have understood what some of the factors that you should keep in mind are, the next step is to understand what kind of plans suit your needs. The right decision depends on who you are covering and what their needs are: 

1. Individual Health Plan:

   An individual health plan covers one person, which would be you. It is a good option if your primary need is overage for yourself during your visits or stay in India. 

2. Family Floater Plan:

   A family floater plan covers multiple people under a single policy, with a shared sum insured. So if you opt for a floater plan with ₹20 Lakh sum insured, then that amount can be used by any of your specified dependents during the policy year. 

3. Senior Citizen Plan:

   If you plan on buying a health plan in India to cover your ageing parents, a senior citizen plan would be the best choice. These cater to older policyholders and usually provide coverage for age-related conditions. Due to the more frequent need for medical treatment, the premiums for these plans can be relatively higher. 

4. Super Top Up Plan:

   A super top-up plan is a cost-effective way to extend your coverage beyond just your base plan. It kicks in once your total medical expenses in a year exceed the deductible amount, which is a predetermined threshold.

For example, if your deductible is ₹5 Lakh, and you have two hospitalisations in the policy year that together cost ₹10 Lakh, then you pay only the first ₹5 Lakh while your insurer covers the remaining amount. A regular plan would not cover any of the costs because each singular hospitalisation did not cost more than ₹5 Lakhs itself. However, a super-top-up plan calculates the total for all hospitalisations and covers the remaining amount. So, a super-top-up plan is beneficial for people who may need medical treatment throughout the year. 

How Do You Buy and Manage a Health Plan in India as an NRI?

Buying and managing the best health plan in India as an NRI living in the UK is a lot more straightforward than it used to be. Most leading insurers now offer a straightforward process. The steps to buy a plan in India online typically are: 

1. Visit the Insurer’s Website: Go to the official website of your chosen insurer.
2. Select Your Plan: Choose which plan suits your and your family’s needs the best, check the deductible amount, the coverage provided, and the waiting period.
3. Select Insured Members: Add yourself and, if needed, your dependents, and their details, including medical conditions. 
4. Enter Personal Details: Provide your government name, ID, address proof, status as an NRI, proof of address, and other required documents.
5. Pay the Premium: Pay the premium amount required by your insurer through the methods that they have approved, usually through an NRE/NRO account or an international credit/debit card. 
6. Submit Declaration for GST Refund: If you are paying taxes in the UK, then submit a declaration of 18% GST refund. 
7. Policy Issuance: Once all details and documents have been verified, your policy will be issued digitally.

Making Your Final Decision? 

Having the best health insurance in India is not just about being eligible for specific plans. It is important that you make sure the responsibility of your and your family's medical and financial protection is thought out carefully. If you are looking for a reliable place to start, we at Niva Bupa provide multiple types of NRI health insurance options that are worth looking at. Some benefits that are included across our health insurance plans are:

• Wide cashless hospital network across India
• Strong claim settlement credentials 
• Coverage for your dependents 
• Global support for you
• Tax benefits under section 80D

Take a lot at our plans, what they offer, and how they suit your needs before your next visit to India. If you have any questions, our support team is always available to help! 

FAQs: 

Can I Buy a Health Plan in India if I Do Not Have an Indian Address?

Most insurers usually require proof of an indian address. If you do not have one, you can typically use your family member’s address as well. Check with your insurer once to confirm what works best. 

Will My Indian Health Plan Provide Coverage For Me If I Need It In Any Other Country Than the UK?

Most global coverage plans provide coverage in countries apart from the UK as well. So it is important to carefully check your policy plan before buying. 

What Happens To My Indian Health Plan If I Move Back To India Permanently?

Typically, your health plan remains as it is. You will need to update and confirm the changes with your insurer.