You've probably heard of these types of insurance many times over, but what do they really mean and how do they work? To distinguish them, what exactly do you need to know? If you go to your insurance specialist and say that you want to insure life, t hen you will definitely receive additional questions, because under this name you can hide even 4 types of insurance:
- Travel Insurance
- Accident Insurance
- Health Insurance
- Life insurance
What's the difference between these insurances?
Let's explain everyone without worry and you will find out what you need! 😉
In short, if there is no time for the whole article, the main difference between health insurance, travel insurance and Accident insurance is that of health insurance is used preventively, namely to test and promote your health. Travel and accidents the insurance is used only after the occurrence of the fact at the time accident.
If none of the above is true to your mind, it's probably life insurance. You pay a certain amount of money per month, quarter or year and if with What happens to you (accident, illness, natural death) then your relatives receive a specific indemnity.
Continue reading for more details on each type of insurance.
Travel Insurance
If you plan to go on a long or short trip, then you need travel insurance. It is insured as your luggage and flight insurance, as well as medical expenses, risk of injury, bone fracture and even death if something happens to you while traveling. Often people see the insured in the policy risk of “Death” and is associated with life insurance. But it is not the same.
If an accident occurs during the trip and results in death, your relatives (legally) will receive an insurance indemnity. However, this policy must be studied carefully provided that this risk is insured. The key word in this policy is "travel."
If you are traveling outside your home country (country of residence), we recommend that you purchase this policy. Even when going only to the neighboring country of Estonia or Lithuania, unforeseen events may also occur during this short trip. Getting the policy, pay attention to medical risks, because their sum insured will also be out of the question when something happens to you.
REMEMBER! An accident is not a long-term illness, or death from old age.
Personal accidents insurance
An identical scenario applies to a personal accidents insurance policy. If there is a ‘Death’ risk in the policy, it means that in the event of an accident resulting in death, relatives will receive insurance indemnity.
This is not the only risk in the accident insurance policy, but most importantly, because without it, it is not possible to issue an insurance policy. The key word in this policy is "accident". Here are some examples to help you visualize this:
- You walked down the sidewalk, you didn't notice the curb, you got caught behind it and you fell. Get up and realize that you are dislocated ankle, worse, broken it.
- In the afternoon, you chose to eat hazelnuts and break your teeth. Yes, this is also an accident.
- Get out of the shower, slip and pinch your little toe.
What's next? Going to the doctor, x-ray examination, specialist manipulations, etc. All these costs will be compensated if you have a risk of bone fractures, dislocations and injuries ’as well as‘ medical expenses ’or‘ medical expenses ’. These terms may vary for insurers.
With this insurance policy, your life is only insured as a result of an accident. Namely, in the event of an accident accident will result in your death, then relatives will be reimbursed.
Health Insurance
This type of insurance covers your health, not your life. Most health insurance is can only be purchased by a legal entity as company, Ltd., insuring its employees, but there are insurance companies whose health insurance also offers to buy as an individual.
Insurance coverage, basic programs and additional programs can be combined to your liking and company wallet thickness. The basic programs are available on their own simpler, where patient contributions are reimbursed or up to payments, up to high-end programs, where complicated laboratory tests are included in the coverage, expensive diagnostics, examinations by medical specialists and a wide range of surgeries.
How does health insurance work? You are going to a medical facility to get your service. Checkout at pay present the health card and the cost of this service, will be fully or partially covered by your health card. Of course, everything is not so simple policy has conditions and limits and there are also unpaid services that will not be covered by insurers.
Add-ons allow you to choose:
- Sports coverage that will offset a certain limit if you purchase a sports subscription or attend a sports lessons like swimming, tennis training, group lessons, etc. activities
- Dentistry, which will compensate for visits to the dentist, manipulation, dental hygiene and others in the institution received service.
- Optics will offset the cost of glasses and lenses.
- Medicines, you will be able to buy medicines listed in the Latvian Register of Medicines, with and without a prescription, within a specific limit. depends on You will be able to buy both prescription and non-routine medications medications like Ibumetin.
In the basic cover it is possible to combine massage covers, vaccination cover, Paid inpatient services, Inpatient rehabilitation services, etc.
Life Insurance
This insurance will provide material protection for your family after your death. This insurance acts as as a result of an accident, in the event of a serious illness, as well as as a result of natural death (age). Agree on the sum insured with your insurance specialist, and annual policy payment. Relatives in the event of an insured event will receive the indemnity amount of your choice.
Maybe you've also heard about endowment insurance? This type of insurance is most often offered banks and in situations where you have a mortgage loan. To the banks would be collateral, in a situation where what will happen to you, then it requires a life insurance mortgage in the residual value. In the event of an insured event, the bank will receive a mortgage the amount of credit and it will not be covered by your relatives.
Quick Comparison
Travel Insurance - If you want to do something extreme while traveling and be sure that after accident, you will receive medical and financial assistance, you will need to take out a travel insurance policy.
Personal accidents Insurance - If you want to be safe on a daily basis (financial support in case of injury, medical assistance) as on the move along the way, whether it's at work or training, then you an accident policy is required.
Health Insurance - If you want to promote your health, see a doctor and have a lab examinations, get massages services, perform planned operations, then you need health insurance.
Life Insurance - If you want your loved ones to have financial support after your death, whether it is an accident or not, illness or natural death, you must take out life insurance.
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