4 Key Points to take Note of while Buying a Health Insurance Policy

4 Key Points to take Note of while Buying a Health Insurance Policy

Gone are the days when employer-provided health insurance schemes were enough for people. Ever since COVID-19 has hit, we all have realized the importance of our health. And those who have been infected by the virus are going through post-COVID symptoms. One of the worst parts of all of these is the hospital bill that we get. The hospital bills are so expensive that many of us end up spending the hard-earned money that we saved in all these years. This is when health insurance is required. One of the reasons why relying upon employer-provided health insurance is not a wise idea is because it may not always cover the medical expenses of your family, and each time you switch your job, you will lose all the benefits of this kind of health insurance policy.

Now if you are considering buying a health insurance plan, you need to understand that it is certainly not one of the easiest things to do. You have to be aware of some of the things. Here are four key points that you must consider as you proceed to buy a health insurance policy.

Requirement and demographics of the policyholders

The social demography of an individual, including gender, age, ethnicity, education background, income, experience in years, locations, and many more, helps the insurance companies decide the average cost that it would take in the hospitalization in the area. If you are expecting modern treatments in better hospitals, you should go for a higher coverage policy. While doing so, you must check for limitations on treatments. Policyholders who are very new to this should avoid floater policies with lower sum assured. You should go for a policy that does not have a cap on the treatment options.

Waiting and policy period

As a policyholder, you must choose a policy tenure that ranges from 2-3 years. One of the main reasons for taking the step is because the policies with longer tenure come with some benefits, which include discounts on the premium that you will pay from the 2nd or even 3rd year. You need to know that the majority of health insurance comes with waiting periods. Therefore, if you already have a pre-existing disease or some kind of critical illness, you should check with the insurance company about the waiting period that comes with the policy.

Policies that offer cashless claim options

You must be sure about the insurance provider’s network of hospitals. You also should ask them if they facilitate the options for a cashless claim. If you ever face any medical emergency, it can be very difficult to make the payments right then. This is why choosing an insurance cover that offers cashless claims as well as coverage across the country. Apart from this, you also should ensure that the policy you are choosing comes with a lower premium, and at the same time, you also do not have to compromise on the benefits. For example, several insurance companies enable the policyholders to pay premiums in EMIs either monthly or quarterly. This helps the insured to pay the premiums in installments as they can maintain their budget.

Hospitalization along with other coverage

While you are buying a health insurance policy, you must consider your age as well as pre-existing illnesses, not only yours but of the family members who are dependent on you. For example, if you already have a lower sum assured, you can choose a top-up policy for extra coverage, in case you want to upgrade your policy.

Keeping these points into consideration will surely help you. And if you want further information on health insurance policies, you can visit the website of IIFL.