New Delhi, May 22 -- Health insurance is meant to offer peace of mind-but a hidden clause called room rent limit can wipe out that comfort at the time of claim settlement.

and even some professionals-overlook this critical fine print, assuming it's a minor cost difference. But that assumption can cost you lakhs.

Mint breaks down how this clause works, why it's so dangerous, and how you can avoid financial shock.

Also read: In charts | The health insurance puzzle: 83% Indians aware but only 19% covered

What is a room rent limit?

Every health insurance policy specifies the type of room it covers-like a shared ward, single room, or sometimes, simply a price cap.

Some plans don't mention a room type directly but instead set a daily spen...