Health problems are generally uninformed and their consequences can also be physical, emotional and financial. It is therefore important that everyone subscribe to a health insurance plan. Adopting a healthy lifestyle and taking out health insurance for you and your family is just as important to protect yourself from the rising costs of medical care, especially when the incidence of illness increases at a younger age.
Health insurance is therefore an important part of financial planning, since a single major expense can delay your financial goals by several years. To help you better manage your health insurance policy, here are some tips to get the most out of your health insurance policy.
Type of cover
Instead of buying a separate health insurance policy for each family member, you can opt for a family plan offering the best coverage according to your needs. If you intend to buy a health insurance plan in your thirties, opt for a family plan. It will be much cheaper than buying individual plans for each family member. But keep in mind that if you add your parents over the age of 50, it would be much better to take out a separate health insurance plan for them. Including family members at high risk of illness can eat in the blanket of your floating family plan, leaving no cover to claim.
Increase the sum insured
The cost of good quality medical treatments is increasing, and to overcome them, you will need a sufficient amount of insurance. A smaller amount of the sum insured may prove to be insufficient when the real need arises. Therefore, it is important to assess your needs from time to time. You can also opt for a supplemental policy to increase the face amount of your policy because premiums are very low for these plans.
Add new members
Always inform your insurance provider immediately and have your child added to the police instead of waiting for his renewal. Usually, health insurance coverage for newborns does not start until after 91 days. To add your child to a health insurance policy, you will have to pay a prorated premium and the corresponding rider will be issued by your insurer.
Health insurance policies limit room rental expenses. This limit is called a rent cap. Depending on this limit, you are eligible to claim a fee for the room up to a certain limit. In cases where the rent exceeds the limit, you will have to pay the expenses, beyond the limit, from your own pocket.
To explain this characteristic of health insurance, here is a scenario. Suppose your health insurance policy has a room rent ceiling of Rs 5,000 per day. If you are hospitalized and the rent is 10,000 rupees a day, you will have to pay 5,000 rupees out of your pocket while your contract covers the rent.
You should also keep in mind that once the room rent exceeds the limit, the cost of other expenses, such as nursing, also increases.
It is always good to inform the insurer of any changes in your health history. In order to maintain your good faith, you must disclose all matters relating to your health or any pre-existing illness, in order to avoid any complications or problems later in the claim.
Mark the renewal date
Most of the time, insureds pay the premium for their health insurance policy just in time or when a reminder is sent by the insurance company. This approach should be avoided because you can lose all the benefits of your existing health insurance policy if it needs to be renewed beyond the one-month grace period. To make sure you renew your health insurance on time, set a reminder of the due date and pay the insurance premium on time. And since the premium can be a significant part of your monthly expenses, make sure you have set aside funds for the same expenses before the renewal date.
Details of the policy of family members
In some cases, the family is still unaware of a family health plan that the insured has purchased. As a result, the dependents did not file a cashless claim or delay the registration of a claim, but ended up paying the expenses themselves. It is therefore essential to inform your spouse or family of any insurance plan you have purchased and to keep a copy of the police documents in a safe but easily accessible place. Make sure each member knows how to file a claim if the need actually feels.
You may be paying the insurance premium regularly and on time since buying health insurance. But you may not be aware of the tax benefits you could receive compared to the premium paid for a health insurance plan. You can save a lot of money by increasing your knowledge of the exemptions under the Income Tax Act. Article 80D concerns tax deductions on premiums paid on health insurance.
Although it is important to have a health insurance policy, the most important thing is to choose the font that suits you best. The purchase of the right policy is an important but difficult task. Therefore, you must consider a number of policies before buying one. You can also buy health insurance online, which gives you much more choice. With a little research, you can get the most benefit from your health insurance.
(By Subrata Mondal, Executive Vice President (Subscription), IFFCO Tokio General Insurance Company Ltd)