Sanil Basutkar
Having an appropriate cover and healthcare plan for mental illness needs to be an important aspect when looking for a comprehensive insurance for you and your family
How does insurance cover work for mental illness?
For around 60 years after independence, Indian insurance companies excluded mental
health treatment expenses in individual insurance policies. But this all changed with the
passing of the Mental Health Care Act in 2017. The act mandated every insurer to make a
provision for medical insurance for treatment of mental illness on the same basis as
available for the treatment of physical illness.
A 2020, Delhi High Court judgement emphasized this very fact. As a result, a few insurance companies are now offering plans which include mental illness cover. Corporate insurance also gives you the flexibility to include such covers under the plan if the employer wants to include them.
Why buy Insurance for mental health?
As per the World Health Organization, almost a billion people were living with a mental
health condition. It is fair to conclude that there is a chance that we might suffer from a
mental condition in our lifetime. The awareness surrounding mental health has never been
greater that has resulted in people addressing mental health issues. Having an appropriate
cover and healthcare plan for mental illness needs to be an important aspect when looking for a comprehensive insurance for you and your family.
What are the benefits of a mental health coverage?
Mental health coverage in your insurance plan will help you to get treatment for your
mental illness. Depending on the type of plan that you opt for, you can get coverage for a
wide range of mental health illness such as alzheimers, depression, bipolar disorders etc.
However, in an insurance policy, these illnesses might have a cap on the amount that can be claimed. Therefore, it is important to understand what these limits are before purchasing a plan.
How to maintain privacy in case of mental illness?
As per Indian law, a person with mental illness has the right to confidentiality in respect with their mental health, mental healthcare and treatment.
Health professionals also have a duty to keep such information confidential. There are similar laws across the globe that provide for such privacy. It is also the responsibility of family and friends to provide a safe environment to a person to get treated. With mental illness so prevalent, it is not looked down upon to get help.
Should telemedicine be a part of your mental illness cover?
Post the pandemic, there has been a widespread adoption of telemedicine. Mental health
professionals can now be accessed through the click of a button.
While some insurance plans do offer complimentary access to such telemedicine services or are part of OPD add- ons, they can also be purchased separately from companies that are dedicated in this space. These services are also very cost effective and are more specialized in offering a holistic wellness.
What are Inclusions under mental illness insurance cover? These include medical expenses due to self-harm or suicidal tendencies, medical expenses relating to substance addictions like drugs and alcohol, and OPD expenses (if not covered within the plan). And while not an exclusion, one should be mindful about the sublimit for mental illnesses in the insurance policy.
There is still more to be done for health insurance coverage with respect to mental illness
and it needs to be on par with physical illness. There seems to be resistance within the
health insurance sector to realize this parity in their policies.
For example, available policies do not cover mental illness or have caps for mental illness treatment expense and limit the number of OPD visits covered or have a more extended waiting period to cover pre-existing mental illness.
The government needs to assess the implementation of the laws and evaluate what more can be done in this regard.
The author is a co-founder, Healthysure