Due to changes in lifestyles and food habits, people worldwide are suffering from various kinds of diseases and sicknesses. On the other hand, healthcare costs are increasing every year. A medical insurance plan is not only necessary but should fulfill your needs to the optimum level.
The insurance plan should be beneficial if you are aware of the following secrets:
Individual policy
The single policy will cover an individual. The premium is based on the policyholder’s age, sex, occupation, past medical history, and family history. If you buy an individual policy for each family member, the cumulative premium will be very high. Hence, you are advised to buy a family insurance policy where all the family members are covered.
Family health insurance plan
The sum insured under the policy is distributed among all the family members. As per the plan’s provision, the insurance company will pay the sum assured even if one member’s hospitalization bill is more than the actual share of the individual.
Cap on room rent
You should understand the limit applicable to the room rent. The insurance company will not pay more than a certain amount, as mentioned in the policy document. You should go for the limitless or higher limit policy so that out of pocket expenses can be avoided while claiming the policy.
Renewability
The renewability of the policy is a factor that helps in enjoying the insurance benefits at a lower premium. You should buy a policy that has a clause of lifetime renewability. The hospitalization and treatment requirements will increase as you grow old. Purchasing a new policy during old age will incur a higher premium. Hence, you should buy an insurance policy at a young age with the inclusion of a renewability rider.
Network hospital
Your insurance company should have a tie-up with the hospital or clinic that you visit for treatment. If you can undergo treatment at a network hospital, you will enjoy the cashless benefit and other privileges extended by the insurance company.
Group insurance policy
If you are an employee, you will have the chance to subscribe to a group insurance policy. The group health insurance plan has certain advantages. It will cover all the pre-existing ailments. You will pay a minimal premium contribution to the employer. After assessing your insurance needs, you can buy an individual or family policy and the group policy offered by the employer. You can take steps to cover risk factors in the family policy, which are not covered by the employer’s policy.
Restore rider
A family health insurance policy comes with a restore rider. The sum assured will be restored if there is more than one medical emergency in a policy year. The two medical emergencies should belong to different ailments.
Pre-existing diseases
The applicability or inclusion of pre-existing conditions in covering the policyholder should be an important factor in choosing a health insurance plan. Most of the insurance carriers will include pre-existing conditions. Some carriers will include levying higher insurance premiums. In some cases, they will be covered after a certain period of time, which is mentioned as a waiting period. The waiting period varies from one to 4 years. You should buy a health insurance plan with the lowest waiting period.
As a health insurance plan is essential to protect all family members’ interests, it should be subscribed after exercising due diligence. With the best insurance policy in hand, you can get the best treatment at hospitals, and your life savings will not be hit during medical emergencies.