Suddenly, many people are suffering from various diseases, and the cost of treatment is skyrocketing. In such circumstances, health insurance is no longer optional; taking out a policy is essential.
The Threat of Lifestyle Diseases
According to a study conducted by the Indian Council of Medical Research (ICMR) on lifestyle diseases, approximately 35% of Indians suffer from high blood pressure, 10% from diabetes, and 28% from high cholesterol levels.
Additionally, a sudden coronavirus outbreak may result in substantial medical bills for previously hidden diseases. Therefore, setting aside some funds for emergency medical treatment is crucial.
The medical sector is advancing unprecedentedly, introducing advanced technologies like robotic surgeries and gene editing.
However, not everyone can afford high medical bills, and many have already realized the importance of health insurance policies. They understand that having the right health insurance can protect their families.
Here are some ways to reduce health insurance premiums significantly:
1. Take It Early – Save More
Taking out a health insurance policy at a young age is very beneficial, as it typically leads to lower premiums. Health issues are generally fewer when you’re younger, which results in reduced costs.
Premiums are determined by age and health conditions— a 40-year-old will pay much more than a 25-year-old. By enrolling early, you take advantage of lower rates and end the waiting period for coverage on pre-existing conditions, allowing you to claim benefits if health issues arise later.
2. Network Hospitals and Bed Availability
Choosing treatment in hospitals that are part of your insurance company’s network can significantly lower your premium—by an average of 15%.
This decision also reduces overall hospital expenses, helping you avoid financial strain. Some health insurance policies even offer multi-bed sharing options that decrease your premiums.
3. Premium Payments in EMI
If paying the entire premium upfront is challenging, many insurance companies provide the option to pay in Equated Monthly Installments (EMIs).
For example, if your health insurance policy costs ₹20,000 annually, you can pay ₹1,600 monthly instead. This makes it manageable alongside your daily expenses.
4. The Effect of CIBIL Score on Premiums
Many people wonder if their CIBIL score affects insurance premiums, and the answer is yes. A good CIBIL score can lead to discounts on insurance premiums, potentially reducing them by about 15%. It’s beneficial to look for health insurance companies that offer such incentives.
5. Full Coverage with Super Top-Up Plans
Individuals holding health insurance should be aware of top-up and super top-up plans. These options allow for higher policy coverage amounts with some limitations.
For instance, if your existing insurance covers ₹10 lakh and you add a super top-up plan of ₹90 lakh, your total coverage can reach ₹1 crore, providing you extra protection.
6. Co-Payment Options
Another way to reduce health insurance premiums is through co-payment. This means sharing a portion of the medical expenses with the insurance company.
You must pay part of the medical bill until you reach your coverage limit and submit bills to the insurer for reimbursement.
7. Digital Policy Selection
When opting for a health insurance policy, consider purchasing it online. This eliminates the need for intermediaries, which can add extra costs. Both you and the insurance company can save time and money.
Moreover, you can compare different policies to find one that best meets your needs, rather than relying on intermediaries who may only promote policies that benefit them the most.
By following these tips, you can make informed decisions about your health insurance and secure better coverage at a lower cost.