InsuranceFinancial Glossary
Restoration Benefit
Definition
A health insurance feature that restores the full sum insured after it gets exhausted during the policy year. If your Rs 10 lakh sum insured is fully used in one hospitalization, restoration benefit refills it for subsequent, unrelated hospitalizations in the same year.
Why It Matters
Restoration benefit essentially doubles or triples your effective coverage. The key detail is whether restoration applies only for different illnesses or also for the same illness. Policies with unlimited restoration for unrelated conditions offer significantly better protection for families.