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  • Glossary

    Health Insurance Terms Made Easy To Understand.

No Claims Bonus (NCB)

No Claims Bonus or NCB is a monetary benefit insurance companies provide to policyholders for not filing an insurance claim during a policy period. The reward is either a discount on the premium amount or an enhanced sum insured, depending on the type of general insurance policy held by the insured party. The bonus comes into effect at the time of policy renewal. Policyholders can get a maximum discount of 50% on the premiums, or an additional 50% of the sum insured, for every claim-free year, up to 5 consecutive claim-free years.

Network Provider

Network providers, also known as network hospitals, are healthcare facilities partnering with or enlisted by medical insurance providers. The partnership between network providers and insurance companies allows policyholders to seek cashless treatment at a network hospital/facility. Seeking treatment at a network provider's facility saves policyholders the trouble of paying cash upfront and filing reimbursement claims.

Non-Network/ Non-Network Provider

Non-network providers are those hospitals, healthcare facilities, day-care centres, and clinics which is not part of the insurance company's network. Non-network providers do not offer the cashless claims facility. Policyholders seeking treatment at non-network health facilities must pay their bills upfront and file for reimbursement of expenses by submitting all the relevant documents.

New Born Baby

A new-born baby, in terms of an insurance policy, is a baby born within the tenure of an existing health insurance policy, and who is under the age of 90 days. Individual health plans do not cover new-born babies. However, policyholders can include their infants in a family health insurance plan. Under the policy, the baby gets its share in the sum insured like other family members.

Notification of Claims

Notification of claims is the process of informing an insurance provider or a third-party administrator (agent, broker) about a policyholder's intention to file an insurance claim. Policyholders can notify their insurance providers about their intent to file a claim through communication modes recognised by the insurer and mentioned in the policy document. They must notify the insurer within 24 hours of emergency hospitalisation and 48 hours before hospitalisation for planned treatments.


A nominee is a person nominated as the recipient of the health insurance benefits in the event of the policyholder's death. The insured can change the nominee during the course of the policy period by means of a non-financial endorsement. In case of the nominee's death, and in the event that a nominee is not listed, the insured person's legal heirs receive the sum insured amount.

Non-Medical Expenses

Certain items charged during the hospitalisation and treatment process are excluded from the scope of coverage. Such expenses are collectively known as non-medical expenses, which insurers mention in the medical insurance policy schedule. Common examples of non-medical expenses include attendant and laundry charges, thermometers provided by hospitals, nebulisers, belts, braces, etc.

No Claims Bonus Protector

No Claims Bonus Protector is a facility that protects the percentage of cumulative or enhanced cumulative no-claim bonus accumulated by a policyholder during a policy period. The conditions of protection involve a claim amount not exceeding a fixed sum, as mentioned in the policy document at the time of policy renewal. To enjoy the no-claims bonus protector benefits, policyholders must avail of this option at the time of the policy's inception, i.e., when they first purchase the policy.

Nuclear Attack

A nuclear attack refers to the use of any nuclear weapons or devices that emit radioactivity and cause illnesses, disablement, or death of an insurance policyholder. Medical conditions caused due to nuclear attacks are typically excluded from coverage under a health insurance policy.

Non-Financial Endorsements

A non-financial endorsement is a written endorsement policyholders can make to request insurance providers to modify certain aspects of their insurance plans. Such an endorsement does not impact the financial aspect of an insurance policy, i.e. the insurance premiums. Common examples of non-financial endorsements include minor rectifications or corrections to an insured person's name, spelling, gender, date of birth, correspondence address, nominee details etc.