Buying Health Insurance Policy – Did You Check These 5 Things?
- February 4, 2018
There are a number of mistakes one tends to make when investing in a medical insurance plan. Listed below are some of the most common mistakes to avoid while investing in a health insurance plan:
A major illness in the family can throw the entire household budget out of gear. Even then, buying medical insurance is seen by many as a tax-saving device than a necessity. Less than one in five Indians possess health insurance. If you don’t have health insurance, it’s time to get one. To help you find the right plan, here are six mistakes to avoid:
When you start late in life, it creates a lot of complications especially when health insurance plans are involved. Most people feel that they are too young to think of an insurance plan for health. However, this should not be an excuse to not have health insurance. Health problems and illnesses may strike anyone, at any time. Starting early has several advantages too. This is the time when you are less likely to have pre-existing diseases. So it is easier to get cheaper cover and accrue no-claim bonuses. Waiting for too long may also signify insurance cover being denied. Also waiting period for pre-existing illnesses is generally four years. You may check this with your insurance company as norms may vary.
Most people tend to depend 100 per cent on insurance policy provided by the employer. Although it is good to have this perk as a dedicated professional, it may offer insufficient cover. Additionally, these are not tailored in a fashion to adhere to your unique requirements. With most of the employer provided health insurance plans, the insured is left unprotected when he/she is in between jobs. Make sure that you buy your own policy to supplement your employer’s cover. For instance, you may go for a family floater policy. This is a good option as all family members of family are covered with one plan. Experts recommend insurance buyer to prioritize the employer’s policy claims and allows the insured to accrue a no-claim bonus on their own health insurance plan.
It is not wise to go for a low premium policy. This is because it might have quite a lot of exclusions making the support presented insufficient.
So whenever you purchase a policy, make double sure that specific diseases or conditions you or your family members are vulnerable get covered. Illnesses based on family history should also be covered.
It is important to emphasize on having critical illness rider with your life insurance policy. You may even go for a standalone Critical Illness Plan. In the event of life threatening disease or condition, it will cover non-hospitalization expenses that a normal insurance policy such as health /medical insurance does not cover. For more information on premium plans, simply get in touch with the insurer or compare quotes online.
It is very critical to read the fine print carefully. This will save you on confusions and disappointments in future. Also keep a check on best hospitals in your neighborhood that are on the list of cashless hospitalization facilities according to your chosen insurance companies. It is possible that insurance companies could restrict hospital room cost / rent covered by them to 1 per cent of the overall sum insured. It is important to look out for clauses such as the co-payment clause, a situation where you have to share the cost with the anesthetist of insurer. Make sure you go through fine print at least twice whenever you get ample time in hand. This may also be studied under the guidance of an agent so that you understand all complex terminologies better.
It is crucial to review your medical cover at least once in 5 years. You also need to compare it to existing expense levels for a variety of treatments. When required, invest in additional cover. In case, your premiums increase or any new clauses get introduced at the time of renewal, simply ask why the change occurred. Also keep a close track of new products. In case, you find your policy restrictive, it is possible to switch providers after comparing costs and features of the plan. Thorough reviewing is a must have for all medical insurance buyers.
Little attentiveness and prudence will help you turn your health insurance into a life saver in dire circumstances. Simply focus on choosing a plan carefully after assessing your specific needs!