With increasing medical costs, buying a health insurance plan is the need of the hour. Such a plan will shield your savings and cover expenses as per the relevant terms and conditions.
When you look for a health policy, the premium is an important aspect to consider. It refers to the amount you pay to the insurance provider to receive coverage under the plan.
Several factors determine the premium amount. These include:
Generally, the health insurance premium is lower if you are young, and it increases as you grow older. This is because the chances of developing ailments rise with increasing age.
- Medical history
Insurance providers may ask you to undergo a medical check-up to learn about your current health situation. If your family has a history of certain ailments, which may increase your risk, you may need to pay a higher premium on the medical insurance coverage policy.
- Pre-existing conditions or habits
If you are suffering from any pre-existing health problems like hypertension or diabetes, you will have to shell out more towards the premium. Moreover, if you smoke or drink, you will need to pay a higher amount to the insurer, as these habits pose a risk to your health.
- Other factors
Parameters like your location, lifestyle, and employment affect the mediclaim premium. Additionally, other aspects like industrial development, political stability, and trade activities in your geographic location may influence the cost.
How can you get a lower premium?
The importance of health coverage is undeniable; however, you need not necessarily pay a high premium. Here are three ways to procure a cost-effective deal:
- Choose an online policy when you are young
Usually, serious ailments do not occur at an early age and, therefore, people tend to delay buying a health insurance plan. However, when you are young, the insurer considers you as a low-risk customer, allowing you to pay an economical premium. Moreover, if you buy health coverage online, expenses such as administrative costs and agent’s commission for sales are reduced.
- Opt for a higher deductible
The deductible is the amount you must pay from your personal resources before the benefits of the insurance plan can begin. You can voluntarily pay a larger sum to reduce the premium. However, you must take your financial situation into account before going ahead with a higher deductible. This is to ensure that you can meet the commitment in case the need arises.
- Avail of long-term coverage
The premium for a long-term plan is lower as compared to that of an annual policy. Insurers now offer coverage for two or three years, which can help reduce the cost. You should compare health insurance plans to find affordable coverage.
Reviewing different policies from various insurers will help you find the best offer. You may do this online using many aggregator websites and a health insurance premium calculator. You can input basic details like age, sum insured, and smoking profile, among other required information, to get an idea of the approximate premium.
Now that you know how to estimate your health insurance premium amount, opt for a suitable policy that falls within your budget today!