Charity Health Insurance: Health Insurance for Employees of NGOs and Charity Organization

There are groups of people who work towards the betterment of society. We know them better by the name of NGO or any charity organisation. The members choose to be a part of such groups voluntarily. NGOs and charities are not government bodies. In fact, they bring forth various challenging issues and strive to eliminate them in a legal manner, thus fostering the overall betterment of society.

NGOs or charities can be registered under Section 25 or 8 of The Company’s Act, 1956, Trust Act, Society Registration Act, or Non-Profit Private Limited Company and can be treated as a small company. Thus, all corresponding rules apply. NGO members are nothing but employees of this company. And it is crucial for companies to provide charity health insurance to them. As you guessed, the core of this article is all about Group Health Charity insurance for NGO employees.

A Group Health Insurance Policy provides insurance benefits to a group of people that are related to each other in some form or another. Since an NGO is also treated as a small company, its employees must also be given NGO health insurance. Charities need to follow the rules mentioned in section 25 or 8 of the Companies Act, 1956 for proper registration and other rules that are stipulated for the category.  They can be registered under the following categories: trust/society/non-profit when registered under Trust Act, Society Registration Act, or Non-Profit Private Limited Company.  For example, they will have to fulfil the minimum member requirement to be registered. Once such criteria are fulfilled, charities can proceed towards purchasing medical insurance for their employees.

The only difference between buying a normal health insurance plan and a group plan is that in the case of a group plan, the company buys policy for its employees. While in a basic health insurance plan, the applicant is a single person.

Ideally, the company will weigh options like the type of insurance plan, cost of the policy, and benefits. Choosing a good insurance company is the next step after understanding the requirement.

Approach a few insurance companies that fit your search criteria. It is also a good idea to review the social media handles of insurance companies. This will give you an overview of the services and reputation of the insurer. Select the health insurance plan and get the best deal available.

The insurance regulator (IRDAI) has laid some rules for buying a Group Health Insurance Policy. An organisation needs to have at least seven members to be registered as an NGO. The NGO can buy Group Health Insurance after the registration process is complete.

Inclusions are conditions or situations where a policyholder can raise a claim. They define the scope of a policy. The following coverages are offered under ACKO’s Group Health Insurance policy.

All health insurance policies have general exclusions, i.e., situations that are not claimable under the policy. You can find the detailed list of exclusions on your ACKO policy wordings. Here are a few for your reference.

Health insurance creates a financial backup for a medical emergency. You can safeguard yourself against a medical issue to ensure timely treatment. The haze over buying health insurance has lifted, especially after the COVID-19 pandemic. It is not an additional benefit that a company offers but a necessity. Since a group policy covers family members as well, this policy can help the insured person create a strong health insurance portfolio.

A Group Mediclaim Policy offers much more than only health insurance coverage. For example, with ACKO a company will get the following benefits for buying a group policy for their employees.