Before Apply a Health Insurance Policy

Choosing the right health cover is an important decision as it provides you a sense of security by offering immediate medical assistance in case of an emergency. However, there are many people who buy the policy as per their agents’ advice and don’t bother about their personal requirements. To them, it is advised to keep in mind the following 8 tips while choosing a health cover:

Tip 1: You must always purchase a health insurance policy no matter whether or not your company offers you a corporate health cover. There are times when you quit the job or your company decides to withdraw the benefits or provides a cover that is not fit for you, in these cases your personal health cover may benefit you. This becomes more important if anyone in your family is suffering from a chronic disease.

Tip 2: Always choose the right amount of sum insured. If you are living in a small city, your health cover should be around 3-5 lakhs whereas if you live in a metropolitan city, your health insurance cover should be no less than 5-10 lakhs. Don’t purchase a new plan; instead port it to get maximum benefits out of it. When you port the plan, the benefits which have been already accumulated in your old plan get transferred in the new policy. Also, keep upgrading your health cover from time to time to take care of your medical inflation.

Tip 3: Buy a health insurance cover as early as possible, especially before you reach in your 40’s. This is because, you are less likely to make claims in early stages of life and can later reap the benefits of no claim bonus and add up to the original coverage every claim-free year.

Tip 4: Always purchase a cover that offers lifetime renewability. This way you will have a health cover at the older age – the time when you have a major health problem and that protection is possible only if your policy offers lifetime renewability.

Tip 5: Buy a policy which gives you restore limit just in case you fully use your sum assured. This will act as a backup cover in an unforeseen critical illness which may be very expensive to manage. For example, Rs 3 lakh plan with Rs 3 lakh restore limit almost gives you Rs 6 lakh cover for critical illness at no extra cost.

Tip 6: Always purchase a health cover through a reputed agent who can help you with claims too in future. For this, you can seek help of online websites to select a plan or examine features but only buy the health cover through an agent or company which has the ability to help you with the claim or offer easy claim settlement procedures.

Tip 7: Always provide the right and true information in your application form. If you suffer from any disease or illness, don’t forget to mention it in your application. You can seek the help of an agent who can assist you in getting the right plan which will cover the disease even after a waiting period. Presently in most policies all preexisting diseases get covered after 3 to 5 years.

Tip 8: Buy the policy with no or minimal sub-limits. Keep an eye out for plans with offers a cap on hospital room rates. This way save your money and give you a sense of relief too.