People often fail to realize that being healthy isn’t a one-time thing, it is a lifestyle. Generally, people do not value their health unless sickness comes knocking on their door. It is getting extremely difficult to maintain work-life balance and to take care of the body and mind. Thus, in such demanding times, availing health insurance becomes more of a necessity.
Choosing a healthy lifestyle is always a good choice. However, going for health insurance is a precautionary measure undertaken to protect your finances in case of health issues. Read ahead to know 10 things to consider before buying a health insurance plan.
1 – Policy Details
You pay a premium to purchase a health insurance plan with a certain coverage. The amount of premium also matters when it comes to the sum insured, which is the maximum amount your insurer will provide in case of hospitalization. Thus, premium, coverage, and sum insured are interrelated. Understand the details pertaining to these three points thoroughly while comparing health policies, finalize your health insurance company, and purchase your plan.
2 – Buying Early
Going for health insurance early in your life is a productive option. You don’t want to go scouting for ideal health policies when you have crossed forty and the body has started showing ageing-related disorders. It is likely that you will make fewer claims before forty. This way, you might be eligible for No Claim Bonus.
3 – No Claim Bonus
In case you are wondering what happens if you purchase health insurance and do not fall ill, do not get hospitalized, and do not claim health insurance? Relax, all your money isn’t going down the drain. Your health insurance company will provide you with the above-mentioned No Claim Bonus for every claim-free year.
4 – Office Mediclaim
Do not solely rely on your company/office mediclaim policy as it is not permanent in nature. For example, if you shift to a different employer, it is not necessary that the new office might provide group health insurance. Also, the current employer might change the policy cover midway leaving you underinsured.
5 – Claim Settlement Ratio
All health insurance companies maintain a Claim Settlement Ratio which is derived after considering the number of claims settled by them. Since settling claims is at the core of an insurance company, consider the company’s Claim Settlement Ratio before buying a policy.
6 – Co-payment
Certain policies might have a co-payment clause. As per this clause, the policyholder is bound to pay a pre-fixed amount in case of hospitalization. Such policies cost less but also offer less compensation as you have to pay a considerable part of the cost incurred for treatment. Make it a point to study this clause in detail if you decide to opt for it.
7 – Day-care Procedures
Check whether day-care procedures are covered by your policy. Usually, insurance companies consider a policyholder to be hospitalized if the person stays at the hospital for more than 24 hours. Nowadays, certain medical treatments are completed within a day. Thus, it is important to ensure if such treatments are covered under your health insurance plan.
8 – Cashless Hospital Network
Insurance companies have tie-ups with a number of hospitals for cashless settlements. Check if your insurance company has a wide network of hospitals. Also, if you shift your residence regularly, check if the insurance company has a national presence in terms of their hospital network.
9 – Pre/Post Hospitalization
Pre and post hospitalization includes any tests, treatment, visit to the doctor, etc. conducted before or after the hospitalization. Different insurance companies have different terms and conditions regarding pre and post hospitalization. Check if your policy covers it.
10 – Room Rent
A hospital’s room rent may sound like a trivial charge but it can be exorbitant depending upon the type of hospital. The treatment cost can go high if the patient is kept in an expensive room.
Before You Buy:
Do not hide any critical information from your insurance company. Declare your medical history correctly while purchasing a health insurance policy. Before you buy the policy, go through the policy wordings in detail and get your doubts clarified from the insurance company.
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