Arogya Rakshak Plan 906
Arogya Rakshak Plan 906: Healthcare costs in India are increasing every year. A single hospitalisation due to an accident, surgery, or critical illness can easily cost ₹3–10 lakhs, which can shake the financial stability of any middle-class family.
In such times, a comprehensive health insurance policy becomes a lifesaver. The Life Insurance Corporation of India (LIC), the most trusted insurer in the country, offers a unique health plan called LIC Arogya Rakshak Plan (906).
This is a fixed benefit health insurance plan that provides lump sum payouts on hospitalization, surgical procedures, and critical illnesses – irrespective of actual medical bills.
Unlike regular mediclaim policies, LIC Arogya Rakshak pays a pre-decided amount directly to the policyholder, giving flexibility to use the money for treatment, home expenses, or any other financial need.
What is LIC Arogya Rakshak Plan 906?
LIC Arogya Rakshak Plan 906 is a non-linked, non-participating, regular premium health insurance policy that provides coverage for:
- Hospital Cash Benefit (HCB)
- Major Surgical Benefit (MSB)
- Day Care Procedure Benefit
- Other Surgical Benefit
- Major Medical Illnesses Benefit
It is a family floater-type policy, meaning you can cover yourself, spouse, children, and parents under a single plan.
Key Features of LIC Arogya Rakshak
- Plan Type: Health Insurance (Fixed Benefit).
- Coverage: Hospitalization, surgeries, critical illnesses.
- Family Coverage: Self, spouse, children, parents.
- Entry Age: 18 – 65 years (principal insured).
- Child Coverage Age: 91 days – 20 years (renewable up to 25 years).
- Policy Term: Till age 80 for adults.
- Premium Payment: Regular, throughout policy term.
- Guaranteed Increases: HCB increases by 15% every 3 years.
- Tax Benefits: Premiums eligible under Section 80D.
Benefits of LIC Arogya Rakshak Plan 906
1. Hospital Cash Benefit (HCB)
- A fixed daily cash benefit for each day of hospitalization.
- Minimum HCB: ₹1,000 per day.
- Maximum HCB: ₹2,500 per day (adults), ₹1,000 per day (children).
- Paid for maximum 30 days in 1st year, 90 days from 4th year onwards.
2. Major Surgical Benefit (MSB)
- 100 times the applicable HCB for listed major surgeries.
- Covers 140+ surgeries (heart, kidney, liver, cancer, etc.).
3. Day Care Procedure Benefit
- 5 times the HCB for minor medical procedures requiring less than 24 hours hospitalization.
4. Other Surgical Benefit
- 2.5 times HCB for other surgeries not covered under major list.
5. Major Medical Illness Benefit
- Lump sum equal to 100 times HCB on diagnosis of listed major illnesses (like cancer, kidney failure, heart disease, etc.).
6. Auto Step-Up Benefit
- HCB automatically increases by 15% every 3 years without increase in premium.
7. No Claim Benefit
- If no claim is made for 3 years, one extra HCB unit is added free.
LIC Arogya Rakshak – Eligibility & Coverage Chart
| Particulars | Details |
|---|---|
| Plan Name | LIC Arogya Rakshak (906) |
| Entry Age (Principal Insured) | 18 – 65 years |
| Coverage for Children | 91 days – 20 years (renewable till 25) |
| Maximum Coverage Age | 80 years (adults), 25 years (children) |
| Minimum HCB | ₹1,000/day |
| Maximum HCB | ₹2,500/day (adults), ₹1,000/day (children) |
| Major Surgical Benefit | 100 × HCB |
| Day Care Benefit | 5 × HCB |
| Other Surgical Benefit | 2.5 × HCB |
| Critical Illness Benefit | 100 × HCB |
| Premium Payment | Regular (Yearly/Half-Yearly/Quarterly/Monthly) |
Premium Illustration (Sample)
Here’s an example for better understanding:
Case 1: Mr. Arjun, Age 35, chooses HCB ₹2,000/day
| Benefit Type | Amount Payable |
|---|---|
| Daily Hospital Cash | ₹2,000 per day |
| Major Surgical Benefit | ₹2,00,000 (100 × HCB) |
| Day Care Procedure | ₹10,000 (5 × HCB) |
| Other Surgical Benefit | ₹5,000 (2.5 × HCB) |
| Critical Illness Benefit | ₹2,00,000 (100 × HCB) |
👉 Annual premium: approx. ₹7,500 – ₹8,500 (varies with age & options).
Investor Scenarios
Scenario 1: Young IT Employee (Age 28)
- Takes HCB of ₹1,500/day.
- Annual premium ~₹5,000.
- At age 35, hospitalized for 10 days due to dengue.
- Receives ₹15,000 (₹1,500 × 10 days) directly.
Scenario 2: Homemaker (Age 40)
- Covered under spouse’s plan.
- Undergoes gallbladder surgery (Other Surgical).
- Gets 2.5 × HCB = ₹5,000 benefit.
Scenario 3: Businessman (Age 50)
- Takes HCB ₹2,500/day.
- At 55, requires bypass surgery (Major Surgical).
- Receives ₹2,50,000 benefit (100 × HCB).
Real-Life Examples
- Ravi, 34 years old: Hospitalized for 12 days due to accident. Got ₹24,000 cash benefit.
- Meena, 45 years old: Diagnosed with cancer. Received ₹2 lakh under major medical illness benefit.
- Rajesh, 55 years old: Underwent heart bypass surgery. Got ₹2.5 lakh as a lump sum.
Analyst Insights
- Insurance Analysts: “Unlike mediclaim, this plan provides fixed benefits directly to policyholder, ensuring flexibility of usage.”
- Financial Experts: “LIC Arogya Rakshak is ideal for middle-class families who want affordable protection against hospitalization & surgeries.”
- Health Advisors: “Coverage of over 140 surgeries makes this a comprehensive health insurance option.”
Advantages & Limitations
Advantages
✅ Covers hospitalization, surgeries, and critical illnesses.
✅ Family floater option.
✅ Guaranteed increase in benefits.
✅ No Claim Bonus.
✅ Premiums eligible under Section 80D.
Limitations
❌ Maximum HCB limited to ₹2,500/day.
❌ Actual hospital bill may be higher.
❌ Not a replacement for full mediclaim, but works as a supplement.
LIC Arogya Rakshak vs Other Health Plans
| Feature/Plan | LIC Arogya Rakshak | LIC Cancer Cover 905 | Generic Mediclaim |
|---|---|---|---|
| Coverage Type | Hospital, surgery, illness | Cancer only | Hospital bills |
| Sum Insured / HCB | ₹1,000 – ₹2,500/day | ₹10 – 50 lakh | ₹2 – 50 lakh |
| Benefit Type | Fixed lump sum | Fixed lump sum | Reimbursement |
| Family Coverage | Yes | Individual only | Yes |
| Tax Benefit | 80D | 80D | 80D |
FAQs (Google-Friendly)
Q1. What is LIC Arogya Rakshak Plan 906?
It’s a health insurance plan that provides fixed daily cash benefits, surgery cover, and critical illness benefits.
Q2. Who can buy LIC Arogya Rakshak?
Anyone aged 18–65 years. Children from 91 days can be covered.
Q3. What is the maximum coverage age?
Up to 80 years for adults, 25 years for children.
Q4. How much daily cash can I get?
Between ₹1,000 – ₹2,500 per day (adults).
Q5. Does it cover major surgeries?
Yes, 100 × HCB for listed 140+ major surgeries.
Q6. Is there a no-claim benefit?
Yes, additional free HCB unit is added every 3 years of no claim.
Q7. Can I claim without submitting bills?
Yes, benefit is fixed, independent of actual hospital bill.
Q8. Do premiums qualify for tax benefit?
Yes, under Section 80D.
Final Thoughts – Should You Buy LIC Arogya Rakshak Plan 906?
Medical emergencies don’t come with a warning. A single hospitalization or surgery can disturb years of savings. The LIC Arogya Rakshak Plan 906 offers affordable, flexible, and reliable protection by giving fixed benefits directly to you, instead of reimbursing bills.
It is not a replacement for a full mediclaim policy, but a powerful supplement that ensures extra cash flow during emergencies.
👉 If you are a middle-class Indian family looking for affordable health insurance with guaranteed benefits, LIC Arogya Rakshak is an excellent choice.
