In India, around 499 people got covered under health insurance in July 2020, according to a report. It is a significant increase from 2011 when only 254 million people had health insurance coverage. Precisely speaking, a major chunk of Indians seek medical treatment at private health facilities where treatment is expensive. That’s why people tend to buy affordable health insurance so that they can get-out of the sudden and huge financial burden.
Below are important tips to consider when choosing health insurance. This will help you cut health insurance costs while enjoying its full benefits.
- Sooner is better: Always try to buy a health insurance plan at an early age. Buying health insurance as soon as you start earning is a wise decision. It is good to buy a plan in your 20s. During this age, you will receive higher coverage at lower premiums than if you buy one in your 30s and 40s.
- Coverage Type: Before choosing health insurance, analyze your health insurance needs. Say for instance, buying individual health insurance if you have no dependents makes more sense than buying a family floater policy. Go for a family floater plan when you have a family.
- Sum Assured: No doubt healthcare costs are uninterruptedly increasing. So, make sure the sum insured you have opted is sufficient to cover all your treatment experiences. For this, it is good to count the number of members in your family who you want to cover. Consider their existing health issues and any hereditary disease that runs in your family.
Tips to Cut Health Insurance Policy Costs
Get early: As said above, getting health insurance at an early age is advisable. This is because people during this period are less likely to have any chronic or critical illness. As a result, insurance companies provide health insurance at relatively lower premium rates.
Since insurance companies measure your age, medical history and other factors, it will be more difficult to get a good deal when you get older. Therefore, buy health insurance when you are in a good health condition during your young age.
Right sum assured: Every different health insurance plan comes with different sum insured options. For example, some plans may come with the sum insured of up to Rs 50 lakh, others may offer Rs 100 crore sum insured. However, higher the coverage you opt for, the higher premiums you will need to pay. It is therefore important to select a plan that can offer you the right sum assured for your needs.
Choose Long-Term Policies: Opt for a long-term policy such as a health insurance policy with tenure of 2-3 years. Year-long policies have substantially lower premiums than a short-term policy.
Get policy before your parents’ turn 60: We become more vulnerable to diseases or illnesses as we grow old. Purchasing health insurance for your parents is thus an excellent option to protect their health. Nevertheless, if your parents are senior citizens, you may have to pay higher premiums. But, if you buy a policy before your parents turn 60, you will be able to reduce the premium rate.
Compare policies: Compare different policies before choosing one in order to find the most affordable product. Almost all insurance companies offer numerous health insurance plans to cater to everyone’s requirements. Consequently, when you scroll through and compare different policies, you can notice striking differences in coverage offered and premiums charged. So, pick a plan that is the most suitable, relevant and affordable to meet your needs.
There are many online portals which provide you with an easy to use policy comparison tool for free. Search for them and compare different health plans before choosing one.
Conclusion
With medical expenses surging in India, having health insurance policy is a must to have financial assistance during unprecedented medical emergencies. However, you should be careful enough when buying a health insurance policy. Select one with a huge network hospital, huge coverage, a high claim settlement ratio and affordable premiums.