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Health insurance is vital for financial stability during medical emergencies in India. Tips include using EMIs, multi-year plans, network hospitals, comparing prices, and a good CIBIL score. Health is our greatest asset, yet it often tends to take a backseat due to our daily routines until an illness reminds us of its true value.
The ancient Chinese philosopher Confucius wisely observed, “A healthy man wants a thousand things, a sick man only wants one." The saying underscores the importance of well-being and the crucial role health insurance plays in safeguarding our financial and emotional stability during medical emergencies. In India, medical inflation has been consistently outpacing general inflation rates, averaging between 10% and 12% per year.
The rising costs can strain budgets, making it essential to adopt strategies that ensure comprehensive coverage remains affordable. This World Health Day is a good reminder to take care of one’s health and know some practical tips to help you save up your premium: Use monthly EMIs, multi-year plans, and network hospitals Lump-sum payments can feel overwhelming, but some insurers allow you to convert your premiums into monthly EMIs. This makes payments more manageable and reduces the financial burden, making quality health insurance more accessible.
Instead of renewing annually, consider three-year insurance plans Many insurers offer discounts on multi-year policies, helping you save in the long run while securing uninterrupted coverage. Additionally, opting for treatment in network hospitals can help reduce premiums by around 15%. Many insurers offer lower premiums when policyholders choose to receive treatment at preferred network hospitals, ensuring quality care at controlled costs.
Some affordable plans with limited networks offer further cost savings for customers who opt for treatment at preferred partner hospitals or choose twin-sharing or ward accommodations. Compare prices online and start early With a plethora of insurance options available, comparing policies online can help you find the best coverage at the most competitive rates. Different insurers assess risks differently, leading to variations in premium costs.
Online comparison tools enable you to analyse benefits, exclusions, and additional features before making a decision. Instead of opting for a high-premium policy, a super top-up plan can be a cost-effective alternative. These plans come into effect after your base policy’s deductible is exhausted, providing additional coverage at a lower cost than a full-fledged comprehensive plan.
Opting for a higher deductible or co-payment clause can significantly reduce your premium. Deductibles refer to the portion you pay before the insurer covers the remaining expenses, while co-payment requires you to share a percentage of medical costs. Choosing these options wisely can lower your policy costs while still ensuring substantial financial support.
It should also be noted that health insurance premiums tend to be lower when purchased at a younger age. Starting early not only ensures coverage before pre-existing conditions develop but also locks in lower premium rates over time, making it a cost-effective long-term strategy. Maintain a healthy CIBIL score, maximise cumulative bonuses Many insurers consider your credit score when determining premium rates.
A good CIBIL score not only boosts your financial credibility but may also help you secure better deals on health insurance policies. Paying bills on time and managing credit responsibly can contribute to a higher score, potentially reducing your premium costs. Many insurers reward policyholders with cumulative bonuses for every claim-free year, either by increasing the sum insured or offering discounts on premiums.
Maintaining a healthy lifestyle and avoiding unnecessary claims can help you maximize these benefits over time. Basically, keeping fit through physical exercises and dietary restrictions is well destined to pay off in the longer term. Health insurance doesn’t have to be a financial burden if you make informed choices.
By implementing these strategies, you can secure comprehensive coverage at an affordable price, ensuring that financial concerns don’t stand in the way of accessing quality healthcare when you need it most. Being proactive today can help you safeguard your health and finances for a secure future. This is authored by Siddharth Singhal, Head, Health Insurance, Policybazaar.
com The views expressed in this article are those of the author and do not represent the stand of this publication..
