How To Get the Right Coverage For Your Newborn

• Written by Anjali Sharma

  Reviewed by Akhil Pillai

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Becoming a parent is one of life's most joyful and exciting milestones, but it also comes with a new sense of responsibility. Along with the happiness of welcoming your newborn, there are many things to consider, from baby-proofing the house to ensuring your baby’s health and well-being. One crucial aspect that should never be overlooked is health insurance. 

The cost of neonatal intensive care (NICU) in India can range from ₹ 5000-10,000 per day, which can be a significant financial burden if unprepared. This is where health insurance becomes crucial, providing a safety net to ensure your baby receives the best medical care without causing financial strain. In this blog, we’ll explore the importance of including your newborn in your family health insurance plan, the different types of coverage available, and why securing your baby’s health is a priority for every parent. Stay tuned!

What is Health Insurance for Newborns?

Health insurance for newborns ensures babies receive the necessary healthcare immediately after birth. Upon birth, a baby is typically covered under their parent's insurance, but parents are required to add their baby to the plan within a specific timeframe, generally 30 to 60 days. This insurance covers expenses such as hospital care post-birth, routine check-ups, vaccinations, and emergency care when necessary. It also covers important tests and visits to ensure the baby is healthy. If the baby needs extra care, such as if they were born early or have health problems, the insurance can help pay for special treatments. 

Types of Health Insurance Plans for Newborn Babies

Choosing the right health insurance plan for a newborn is crucial for securing your baby's health and well-being.

Let's explore the types of health insurance available for newborns:

• Maternity Health Insurance with Newborn Cover: Many maternity health insurance policies automatically cover newborns after birth. These plans are designed to help with the costs of childbirth (whether it is a normal delivery or C-section) and often include additional coverage for your baby’s health. This provides coverage for both the mother and the baby, making it an ideal option for expectant parents. 
• Family Floater Health Insurance: A family floater health insurance plan covers all members of the family, including your newborn, under a single insurance policy. Instead of buying separate policies for each family member, you get one plan that covers everyone. It generally includes medical costs like hospitalization, surgeries, emergency treatments, and sometimes even maternity expenses. 
• Standalone Newborn Insurance Plans: Some insurance companies offer specific plans for newborn babies. These plans are designed to cover the baby’s healthcare needs in the first year, focusing on newborn-specific treatments and conditions. These plans often cover postnatal care (care after birth), vaccinations, and any extra medical care the baby might need, including treatments for conditions requiring a stay in the Neonatal Intensive Care Unit (NICU).

Why Do You Need Health Insurance for Newborns?

Newborn health coverage ensures babies receive the best possible start in life, providing access to necessary medical care and protection against high medical expenses.

Here are key reasons to obtain medical insurance for newborns:

• Early Medical Care: Newborns are highly vulnerable in their first few weeks and may need immediate medical care to monitor development, detect any congenital conditions, or address health complications.
• Preventive Care: Coverage ensures newborns receive essential preventive health services such as vaccinations, hearing and vision screenings, metabolic disorders, and regular check-ups to track growth and development.
• Unexpected Health Issues: Newborns can face unforeseen medical challenges, including infections, jaundice, respiratory issues, or premature birth complications. Health coverage ensures these issues are addressed without placing overwhelming financial strain on parents.
• Peace of Mind for Parents: Newborn health coverage provides parents with peace of mind, knowing they are prepared for unexpected medical situations and can access necessary care for their child's healthy start to life.
• Financial Protection: Without newborn health coverage, the costs of even a brief hospital stay or medical intervention can be significant. Insurance helps manage these costs and ensures financial protection during this critical period.

Benefits of Medical Insurance for Newborn

Medical insurance for newborns offers several key benefits, ensuring their health and well-being are protected from the start, let's discuss them in detail:

• Extensive and Comprehensive Coverage: Infant medical insurance offers broad coverage, including hospitalization, doctor's fees, hospital room rent, daycare treatments, medicines, and pre- and post-hospitalisation expenses, depending on the plan selected.
• Coverage for vaccinations: Newborns require routine vaccinations, some of which can be expensive. Comprehensive health insurance for infants covers the cost of immunisation.
• Periodical Health Check-Up: Health insurance for newborns offers periodic check-ups at quality hospitals, ensuring proper medical care.
• Financial Security and Peace of Mind: Infant insurance plans provide financial protection and peace of mind, covering unexpected hospitalization costs and avoiding financial strain. 
• Cashless Hospitalisation Facility: Newborn health coverage includes cashless hospitalization at network hospitals, where the insurer settles bills directly. This allows immediate admission and treatment without upfront payments.
• Tax Benefits: Medical insurance for newborns safeguards the baby and provides tax benefits under Section 80D of the Income Tax Act, 1961.

How to Choose Health Insurance for Newborns

Choosing the right health insurance for your newborn is an important decision that can significantly impact your baby's health and well-being. 

• Choosing the Appropriate Sum Insured: Select a health insurance policy with an appropriate sum insured, considering your child's unique medical needs. Balance higher coverage (and premiums) with your budget, especially as expenses increase after your baby's birth. 
• Opting for a Policy Providing Adequate Coverage: Many newborn health insurance plans provide coverage after 90 days from birth. The period before this can be critical if hospitalisation is needed. Choose a policy that allows immediate addition of your newborn.
• Option to Add to Family Floater Plan: Check if you can add your baby to your existing family floater plan. This is often faster and more affordable than a separate policy.
• Flexibility for Add-on with Plans: Choose a plan that offers flexibility to customise infant medical insurance with add-ons to enhance coverage as needed..
• Co-Payment: Check if plans include co-payment clauses. Co-pays mean you pay a percentage of the bill, but premiums are typically lower.
• Exclusions of Policy: All policies have exclusions. Understand these and their implications for hospitalisation.
• Read the Terms and Conditions of the Policy: Carefully read all terms and conditions before finalising a policy for your newborn.

Wrapping Up!

Securing the right health insurance coverage for your newborn is crucial for safeguarding their well-being. Understanding newborn health insurance, exploring plan options, and recognizing its importance will help you make an informed choice. The best health insurance for newborns provides financial protection against medical expenses and ensures your baby receives the best possible care. Newborn health coverage provides peace of mind and lays the foundation for a healthy future.

Whether you add your baby to an existing family floater plan or buy a separate plan depends on eligibility, but ensure adequate coverage.

Disclaimers: All plan features, benefits, coverage, and claims underwriting are subject to policy terms and conditions. Kindly refer to the brochure, sales prospectus, and policy documents carefully.