What Are Daycare Procedures in Health Insurance?
Written by Mariyam Sara
2 min read | Updated on November 11, 2025, 18:54 IST
What are Daycare Procedures in Health Insurance?
How Does Daycare Health Insurance Work?
How to Choose a Day Care Health Insurance Plan?
How to File Day Care Claims in Health Insurance?
Benefits of Day Care Health Insurance
Upstox is a leading Indian financial services company that offers online trading and investment services in stocks, commodities, currencies, mutual funds, and more. Founded in 2009 and headquartered in Mumbai, Upstox is backed by prominent investors including Ratan Tata, Tiger Global, and Kalaari Capital. It operates under RKSV Securities and is registered with SEBI, NSE, BSE, and other regulatory bodies, ensuring secure and compliant trading experiences.
Health insurance is a safety net that protects you against financial distress caused by a health crisis. Most health insurance policies cover hospitalization, surgeries and daycare treatment expenses.
Let’s understand what is considered day care procedures, treatments included in health insurance and the claim filing process.
What are Daycare Procedures in Health Insurance?
Day care procedures are treatments or surgeries that require the insured to be hospitalized for under 24 hrs. Most insurers cover daycare treatments under health insurance, such as Cataract surgery, Radiotherapy, Dialysis and Chemotherapy, etc, which require short-term hospitalization.
How Does Daycare Health Insurance Work?
When you are admitted to a hospital for a short-term treatment like a cataract surgery, which takes less than 24 hrs, it is considered a daycare procedure. The claim procedure for daycare treatments is similar to health insurance claims.
At the time of payment, you can pay the surgery expenses out-of-pocket and then raise a claim, which will be reimbursed by the insurer. If you have cashless health insurance, then the hospital will directly contact your insurance provider and settle the bill.
How to Choose a Day Care Health Insurance Plan?
Most people opt for a health insurance plan, which covers a significant number of day care procedures, but that’s where they go wrong. Before picking an insurance plan, check factors like sub-limits on treatments, co-pay clauses, age limit, etc.
Sum Insured
When choosing a health policy, ensure the sum insured matches the average daycare treatment costs and consider inflation when deciding on the sum insured.
Categories of Daycare Procedures
Check the categories of daycare procedures included in the policy and don’t be enticed by the number of treatments included.
Exclusions
Check the daycare exclusions mentioned in the insurance policy and make sure your health plan includes common procedures.
Co-Payment Clause
The co-payment clause in the policy states that a certain percentage of the expenses will be borne by the insurer and the balance will be paid by the insured. Before choosing a plan, check for the co-payment clause and have it removed.
How to File Day Care Claims in Health Insurance?
Daycare procedures are covered under your health insurance, along with other traditional hospitalization or surgeries and hence have the same process. The daycare treatment expenses have to be borne by the insurer, which is later reimbursed by the insurer after the submission of the required documents.
The insured can also opt for a cashless process where the hospital and the insurance company will coordinate and settle the expenses directly. But to avail this, you will have to inform the insurer beforehand of the treatment you’re about to receive.
Benefits of Day Care Health Insurance
Most insurance companies cover daycare procedures under their health insurance plan. Here are the benefits of day care under health insurance.
Covers Short-Term Treatments
Traditionally, health insurance only covered serious illnesses that required long-term hospitalisation. But as the insurance sector evolved, today most insurers cover short-term treatments to offer comprehensive health coverage for their customers.
Reduces Financial Burden
Day care treatments, though short-term, are quite costly and burn a hole in your pocket. A health insurance plan that covers daycare treatments helps you get the treatments you need without worrying about the cost.
Comprehensive Coverage
Most insurance policies cover a wide range of day care procedures to offer comprehensive health coverage.
Since most health insurance policies include day care treatments as a built-in feature, look at day care categories such as oncology, appendicectomy, etc. This practical approach will help you pick an insurance plan that best suits your health care requirements.
About Author
Mariyam Sara
Sub-Editor
holds an MBA in Finance and is a true Finance Fanatic. She writes extensively on all things finance whether it’s stock trading, personal finance, or insurance, chances are she’s covered it. When she’s not writing, she’s busy pursuing NISM certifications, experimenting with new baking recipes.
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