This is a very valid and important question. There is no need to panic if you’re in this situation as the insurance company has a number of processes in place to ensure you get covered even around the time your policy lapses.

Situation 1: If you are hospitalized just before the policy’s expiry date and have intimated the insurance company about the same before policy lapses. As the policy in this situation has lapsed while you are in hospital, the company will pay you the benefit as per the plan, and its terms and conditions.

Situation 2: If your policy lapses and you are hospitalized during the grace period. In this situation, upon intimation during the grace period about the hospitalization, the company will pay the coverage as per the plan, and its terms and conditions.