Written By: Simran Kaur Vij

Simran Kaur Vij

Health and Term Insurance

Simran is an insurance expert with more than 4 years of experience in the industry. An expert with previous experience in BFSI, Ed-tech, and insurance, she proactively helps her readers stay on par with all the latest Insurance industry developments.

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Reviewed By: Anchita Bhattacharyya

Anchita Bhattacharyya

Health, Term & Life Insurance

Anchita has over 6 years of experience in content marketing, insurance, and healthcare sectors. Her motto to make health and term insurance simple for our readers has proven to make insurance lingos simple and easy to understand by our readers.

Updated on Apr 08, 2025 6 min read

Restoration and Recharge Benefits in Health Insurance

With a continuous rise in healthcare facilities, it has become more important to choose health insurance wisely. One needs to thoroughly evaluate their needs and then choose a coverage suitable for them, be it an individual health plan, or family floater policy, or a group health insurance. With the lack of sufficient coverage, you put your or your family’s health at risk and this might result in a considerable rise in out-of-pocket costs during the treatment.

Therefore, to help you out in this, Health Insurance companies have started offering several benefits. These benefits are generally overlooked by common people due to the legal terminology of a policy document.

One such benefit that many people are still unaware about are Restoration & Recharge Benefits in their policies. Read on to learn more about the restore or recharge benefits in the health insurance plan, read on.

What is Restoration Benefit in Health Insurance?

Restoration benefit restores or refills the sum insured once the original coverage has been exhausted. This benefit is offered under health insurance plans available for individuals as well as families.

In short, the Restoration benefit helps you to avail the coverage even after you exhaust the sum insured. So, you don’t have to worry if you use the entire amount insured since if you have this benefit, your insurance provider will provide you the entire sum insured again that can be used in the future.

For Instance: Ravi, a 40 year old IT employee bought a health insurance of INR 5 Lakh with inbuilt restoration cover. After 2 years, he suffered from a cardiac ailment and had to go through the operation. The operation costs him INR 5 Lakhs. After a few 2-3 months, Ravi met with a serious accident and needed an emergency hospitalization that cost roughly INR 2 lakhs. Now, the health insurance coverage that Ravi has is almost expired. Fortunately, he bought a plan with a restoration benefit, which means that the treatment expenses incurred a second time will be covered by the insurer.

Types of Restoration Benefit

There are two types of restoration options available in health insurance:

• Complete exhaustion of the Sum Insured: You should opt for this restoration benefit only when the entire sum insured is exhausted.
• Partial exhaustion of the Sum Insured: You can opt for this restoration benefit even when the sum insured has been partially exhausted.

Who should opt for a Restoration Benefit?

Restoration Benefit is perfect for a certain group of people who have specific sorts of health insurance coverage. The following people will benefit from this benefit.

• People with Family Floater Policies: The sum insured under a family floater will be divided by numerous family members, thus, policyholders with a Family-floater Health Insurance plan should consider the restoration benefit.
• People with low sum insured coverage: Policyholders with a low sum insured can use this benefit as a backup in the event of total depletion, lowering out-of-pocket costs.

What is Recharge Benefit in Health Insurance?

The recharge benefit in health insurance is useful if your sum insured is decreased/depleted due to a previous claim. You can make use of the recharge benefit immediately upon the next claim without waiting for the next policy year.

In short, with health insurance recharge benefits, your sum insured is instantly recharged and you can avail the benefits again in the same year.

Advantages of having Restoration & Recharge Benefit Health Insurance

There are numerous advantages of having a restoration and recharge benefit in your health insurance plans. Make sure you compare health insurance plans before buying one.

Some of the benefits of restoration and recharge benefits are as follows:

• You get to avail of an additional coverage amount under your policy.
• Many companies offer inbuilt restoration and recharge benefits without paying an additional premium.
• These benefits can help you avoid unexpected expenses and ensure that you never miss a health insurance claim of your health insurance policy.
• With these benefits, you can cover all the family members through a sufficient sum insured in a family floater plan.

Wrapping it up

Nowadays when healthcare prices are on the rise, it is important for you to explore all the benefits that a health company offers. One such popular feature that comes with many health insurance plans is recharge and restoration benefits. Having such benefits is useful when there are several claims and you need enough coverage. So, look for the best health insurance plan that includes a "restoration & recharge benefit." for maximum coverage.

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