No-Claim Bonus in Health Insurance

No claim bonus is the reward from your health insurer at the end of every claim-free policy year. Buy a health policy with a handsome no-claim bonus to maximize your sum insured amount each year. When buying health insurance, do not overlook the NCB (No-claim Bonus).

Read more, to understand why it is important.

Key Takeaways

• No-claim bonus helps you maximize your sum insured benefits after every claim-free year
• NCB reduces the overall renewal cost of your health policy and many more benefits
• Not all health policies in India offer NCB, which is why it is important to read policy terms

pert Insights 

Most insurers in India give at least a 5% no-claim bonus to reward their policyholders for every claim-free year. The percentage varies among insurers.  For your easy understanding, let’s give you a simple representation. Say you have a health policy with a coverage amount of 5 Lakhs, and the insurer provides 5% NCB. Then on, 

• Year 1 - Policy Bought - Coverage amount 5 Lakhs
• Year 2 - No claims - 5% Bonus - Coverage amount 5.25 Lakhs
• Year 3 - No claims - 5% Bonus - Coverage amount 5.5 Lakhs

What Is No Claim-Bonus In Health Insurance?

Simply, a health insurance no-claim bonus is the amount rewarded for maintaining good health. After completing claim-free health insurance, the bonus amount is added to your sum insured on renewal.

This NCB increase in your sum insured provides additional financial protection, so buy a health insurance policy after examining the claim bonus in the health policy.

Best Health Insurance In India With the Highest No-claim Bonus

1. Care Supreme

   Offers built-in cumulative and cumulative bonus super offering up to a 500% increase in coverage in 5 consecutive years.

2. HDFC Optima Secure

   100% increase in the sum insured post 2nd-year renewals irrespective of any health claims made by you.

3. Niva Bupa ReAssure 2.0

   Offers a no-claim bonus maximum of up to 500%.

4. Aditya Birla Activ One NXT

   Offers cumulative bonus as health returns allowing individuals to earn their health insurance premiums up to 100%.

Health Insurance No Claim Bonus: How Does It Work?

Let us understand no claim bonus in health insurance with a case study.

Two individuals Mr. A and Mr. B purchased a family floater health policy:

Both of them spent a claim-free policy year, giving them both no claim bonus at the time of renewal. This is how it benefitted them individually

Mr. B gained a higher increase in the Sum insured at renewal because his health policy offered a higher no-claim bonus.

Points to remember

*NCB percentage varies from insurer to insurer

No Claim Bonus Types

Find out the types of no claim bonus offered by insurance companies in India explained below:

Health Insurance No Claim Bonus: Benefits

NCB in health insurance is beneficial in more than one way, let us find out how:

• Maximizes your sum insured benefit by offering additional financial coverage helping you in times of medical emergencies
• Reduces the overall cost of renewing your medical policy
• The benefit of a no-claim bonus in health insurance motivates individuals to stay healthy and spend a claim-free policy year
• No claim bonus is transferable, meaning your accumulated bonus will be transferred at the time of the policy portability

No Claim Bonus In Health Insurance: Key Purchase Parameter

An NCB in health insurance motivates individuals to maintain a healthy lifestyle. This helps you spend a stress-free life and reap financial rewards from your insurer. A no-claim bonus in your health policy will either increase your sum insured or reduce your overall premium costs during renewal.

To know about no-claim bonus health insurance or any other benefits of health policies, you can schedule an appointment with our insurance experts today.