The effects of the increasing health insurance policy premiums can be devastating for an investor mainly because hed end up spending a big part of their monthly income in paying these premiums. Well, the most important question you need to ask yourself is, why do you take a health insurance policy The answer is fairly simple - We buy a policy to secure our future in case of an emergency.
Moreover, even if you cannot control expenses with respect to sickness and health management, you can definitely control the rising health insurance premiums.
Avoid a Health Insurance Policy with a Claim Holding
Insurance firms are known to charge a huge amount of premium in order to cover the client, considering it is going to cover the entire cost if the policy benefits are claimed. Sometimes, when you claim the policy benefits, your insurance provider hikes the premiums for the next year. So, it becomes imperative to go for an insurance policy that offers fewer burdens and helps you keep your pocket full.
Special Family Floater Insurance Policies
For keeping a tab on premiums, it is recommended to opt for a family floater policy. These coverage policies can be taken up for all your family members. They are much cheaper as the premiums are divided and you have to pay on an individual basis. Family floater insurance policies come with a 2 year waiting period and the following diseases/disorders are covered during that time:
All kinds of duodenal or gastric ulcers
* Dysfunctional uterine bleeding
* Benign prostatic hypertrophy
* Surgery on tonsils and ears
* Skin ailment surgery
* External and internal tumors
Opt for a Policy with High Top-up/Deductible
People often go for policies with low deductibles and this is a huge mistake on their part. Overlooking the advantages of health coverage with fairly high deductible/top-up can prove to be expensive for you. Here, you just have to pay a certain amount of medical cost before your insurance provider reimburses the remaining amount on your behalf. This is the way through which you can keep a check on the rising premiums. The co-payment method can be included under this head as it is common with people using group insurance policies. A few good examples of health insurance plans available for you are discussed below.
HDFC Life Health Assure Plan
Entry age policy holder and adults (minimum): 18 years
Entry age dependent children (minimum): 91 days
Entry age (maximum): 70 years
Terms of Policy: 3 years (renewable)
Frequency of Premiums: Annual/Single
ICICI PRU I CARE
Min/Max age of entry: 18-65 years
Max age at the expiry of policy: 75 years
Min Premium: Rs 3, 000
Death Benefit Accidental: Max Rs 50 lakh
Premium Payment Mode Single (one pay), yearly (regular)
Do a Research on the Companys Policy Regarding Age of the Client
By now, you would be aware of the fact that a younger person can acquire an insurance coverage at a much affordable rate than an aged one. So, you should carefully try and understand how much the age factor influences a companys health insurance plan to hike the premiums from time to time.
Inflation in the Medical Industry
If you do the economics, you would come to a conclusion that the rising costs of medicines and treatments in the country have resulted in increased premiums. Therefore, it is advisable to review the health insurance cover on a yearly basis to know where your policy is heading.
Consider the Insurance Companys Policy of Hiking Premium Rates in a Particular Age Group
Once your insurance provider decides to hike the premium rates in a specific age group of insured clients and you observe that you too are falling in the same group, then things can get really frustrating. This happens quite often and you cant do anything about it as youll have to bear with the increased rates. However, one thing which you can do here is to study the extent of the rise carefully so that you can manage your funds accordingly.
Healthcare is a very big industry in India; and with increased awareness, more people are opting to get themselves covered. However, it is important for you to be smart while you empty your pockets and spend your money on monthly premiums. Know how to put a curb on the rising premiums and stay safe.