Today, Health Insurance is playing the role of savior for many. The advancements in the medical industry have also brought a hike in the cost of medical bills. Purchasing a Health Insurance policy is a wise decision to tackle medical expenses, be it planned or emergency hospitalization. 

After carefully choosing the right coverage, for activating the plan, premium becomes necessary. The premium denotes the amount paid by the insured to the insurer to avail the benefits under the policy. Usually, the Health Insurance industry has certain principles to calculate the premium, like the age of the insured, past medical records, add-on covers, etc.

Here are a few suggestions on how to save money on your Health Insurance premium.

Buy Early

If you are intending to buy a Health Insurance plan and postpone it to later years, consider advancing it. Because age is one of the keystones in calculating the premium. The premium is low when you are young. The reason behind this is, elderly people are more vulnerable to health risks when compared with young ones. So, rather than waiting for a perfect time, buy it as early as possible to cut the cost of your premium. 

Buy Online

Buying a Health Insurance policy online is a significant cost-effective way to minimize the Health Insurance premium. Most Health Insurance companies offer a premium discount if bought online. Online facilitates the comfort of buying it anywhere and anytime, also free from any interaction with the middleman and in-person visits to the company. Moreover, the online process is transparent, reliable and easy as you are buying it through their official website. 

Buy Top-up Plans

The cost of treating some diseases or illnesses might turn out to be expensive. However, opting for a high Sum Insured will make the premium expensive. Because Sum Insured is one of the keystones that affects the premium. Opting for a Top-up plan is cost-effective as it enhances the Sum Insured of the Base policy and provides coverage up to the exhaustion of the threshold limits of your base policy. It provides additional financial protection at an affordable premium.

Buy Floater Plan 

Securing the family is important. If you intend to buy a Health Insurance policy for your family, consider purchasing a Floater Health Insurance policy. Buying an Individual Health Insurance Policy for everyone can be expensive. Rather, a Floater Health Insurance policy will cover all the family members under one policy, which will eventually save a lot of money on your premium. Also, check if the policy offers a premium discount for adding family members as some policies offer discounts for the same. 

Separate Plan for Parents

An elderly person is prone to more health risks than the younger one. Also the premium of the Floater Health Insurance policy will be calculated based on the age of the eldest person. Therefore, by adding your parents you might end up paying a high premium. Because of their age, the possibilities of making a claim will be high, which eventually affects the cumulative bonus of the policy. Having a separate policy for them is cost-effective and frees you from worrying about claims and bonuses of your policy. 

Consider buying a separate policy for them, because it is economical and also exempt from income tax, according to Section 80D of the Income Tax Act, 1961. 

Opt for Long Term Policy

Policy terms refer to the year or period during which the purchased Health Insurance policy will be in force. Usually, the policy term is one year, but some policies also offer long terms like two or three years. Opting for long-term is another way to save money on your Health Insurance premium. Because most Health Insurance policies offer a discount on premiums if the policy has been opted for a term of 2 or 3 years. Also, if you opt for an annual plan the premium might get revised during renewals because of the inflation rate. Thus, long-term policy appeals to be the cost-effective way. 

Health Insurance is an essential investment, make sure that you invest in the best. The best should not have to be expensive, so keep it affordable. Be mindful of the aforementioned suggestions to make a wise decision.