Room Rent Capping
Understanding room rent capping in group health insurance plans and its impact on hospitalization benefits.
What is Room Rent Capping?
Room rent capping is a clause in health insurance policies that limits the amount the insurer will pay for the hospital room charges. It's typically expressed as a percentage of the sum insured or as a fixed amount per day.
How Room Rent Capping Works
If your policy has a room rent cap of ₹5,000 per day and you choose a room that costs ₹7,000 per day, you'll need to pay the difference of ₹2,000 per day from your pocket. Additionally, many associated hospital charges like nursing, doctor visits, and procedures are proportionately reduced based on the room rent capping.
Impact on Claims Settlement
When a room rent cap applies and you choose a higher category room, the insurer applies a proportionate deduction formula:
Claim Amount Payable = (Eligible Room Rent ÷ Actual Room Rent) × Total Hospital Bill
This proportionate deduction can significantly reduce your claim amount for all associated charges.
Types of Room Categories
- General Ward:
Shared room with multiple beds
- Twin Sharing:
Room shared with one other patient
- Private Room:
Single occupancy room
- Deluxe Room:
Premium single room with better amenities
- Suite:
Luxury accommodation with separate living area
Need assistance?
Our experts can help you understand the best room rent options for your group policy.
Benefits of No Room Rent Capping
Freedom to choose any room category without financial implications
No proportionate deduction in other medical expenses
Better care and comfort during hospital stay
Group Insurance Room Rent Options
We offers various room rent options in our group health insurance plans:
- • No room rent capping (recommended)
- • Single private room
- • Twin sharing room
- • 1% of sum insured per day
- • 2% of sum insured per day
Choose the Right Room Rent Option
Get a customized group health insurance quote with the ideal room rent policy for your organization.