With the increasing cost of medical expenses, the number of health insurance companies have also risen exponentially in the last decade. Thus, it becomes extremely difficult and confusing to choose a health insurance policy among so many.
What Factors to Check Before Buying a Policy?
Buying the right health insurance policy is extremely crucial. The best medical insurance plan is the one that completely suits the individual’s requirements with an affordable premium. So, below are some of the tips on choosing the right policy:
Sum Insured
The sum insured or the coverage amount is the total cost that the insurance company will have to pay the policyholder in case of medical emergencies. Understand the medical needs, age, premium, etc., and choose the coverage amount which best suits the requirements.
Premiums
Premiums are the amount that the policyholder has the pay period to the insurance company to be able to keep getting the coverage. Again, just like sum insured, one must understand the age, medical needs, and affordability before choosing a plan.
Co-Payment
In policy plans, the co-payment clause is added by the insurance company. If a plan has a co-payment clause, then the policyholder will have to pay a percentage of the medical expense while the rest will be paid by the insurance company.
Renewability
It is important to choose a health policy that offers lifetime renewability since the chances of medical emergencies increase with age.
Cashless Treatment and Network Hospitals
It is always beneficial to check the network hospitals of the insurance company in the vicinity. A policyholder can get the cashless treatment benefit if the medical treatment is done in a network hospital.
Claim Process & Claim Settlement Ratio
Check for a company where the claim process is simple and the claim settlement ratio is higher. Some companies like Care Health Insurance have a claim settlement ratio as high as 95.22%. Apart from having a better claim process and settlement ratio, a company should also have proper support when the need comes.
Pre & Post Hospitalization
Pre-hospitalization expenses are the medical cost that is incurred before the patient gets hospitalized due to the same disease. In the same way, post-hospitalization costs are the medical cost that is incurred post the patient gets discharged after the treatment for the diagnosed disease. It is important to choose a policy that covers both of these.
Flexibility
There are some policies that have lesser flexibility with respect to increasing the sum insured, adding a family member, etc. Check the flexibility of any policy to have a hassle-free experience in the future. Also, the benefits of top-up policies should be checked in case it is required later.
Additional Benefits
Most companies provide add-on benefits like medical checkups, No claim bonus, Maternity benefits, etc. More the add-on benefits, the better experience for the policyholder.
These were a few factors that any individual should consider before buying a new health insurance policy. These aforementioned points can help any person make a completely informed decision.