Avoid these 5 common health insurance traps for full cover

Health insurance policyholders risk losing out on claims due to hidden exclusions, room-rent caps, and sub-limits, Livemint reports. Even a cashless policy does not mean every expense is covered, items such as gloves, consumables, and PPE kits are often excluded unless a rider is added. Insurers may also invoke a 'reasonable and customary' clause to cap what they pay.

A room-rent limit can multiply the shortfall: exceeding the daily cap means the insurer proportionately reduces all associated costs, not just the room bill. Sub-limits on modern treatments such as robotic surgery can slash a large claim to just a few lakh. Hiding pre-existing conditions like blood pressure risks claim rejection, as insurance is a contract of good faith.

Livemint advises policyholders to check exclusions and R&C terms before buying, opt for plans without room-rent capping, and disclose full medical history. Buying solely for the lowest premium may leave a policyholder underinsured against rising treatment costs.