What Are The Best Ways To Utilise Your Health Insurance Plan?

Posted on: Jun 23, 2021 | | Written by:

What Are The Best Ways To Utilise Your Health Insurance Plan?

Published on June 21, 2021. EST READ TIME: 3 minutes

Rising healthcare costs and the need for quality healthcare in times of the ongoing Covid-19 pandemic are pushing Indian families to attain better health coverage. Health insurance can help individuals and families manage their medical costs in the event of a medical emergency like we are witnessing today. However, many insured individuals may not be making the most of their health insurance policy. As a result, they could be paying considerably higher, for much-needed coverage, than they really ought to. This has led to many policyholders becoming dissatisfied with their respective policies.

In order to make the most of their health insurance plan, policy holders need to be thoughtful about their insurance needs before they buy the policy of their choice. Here is a list of five ways to best utilize your insurance plan

Choose the Right Plan
As easy as this sounds, insurance buyers often get the first step wrong. Before you go-ahead with a generic insurance plan, make sure you look around for a plan that meets your specific requirements. Your first priority should be your family. If you have senior parents, make sure to get a policy which caters to their needs. Also look at specific medical needs that members in your family might have, this includes dental coverage and specific coverage for chronic illness. If you forecast the need for medical treatment in the near-future, make sure you choose a plan that covers you the best.
Get Coverage for Covid-19 Treatment
Being covered with the right medical insurance is essential to beating the health challenges that we face today (covid-19). In addition to taking the necessary steps to be protected from this deadly disease, one needs to get an insurance plan that provides complete coverage in case you require treatment. If you are about to buy a health insurance policy, make sure that your provider includes covid hospitalization and treatment as part of their comprehensive plan. If you already have existing medical insurance that does not give you the much needed cover, you can buy an add-on plan to give you the protection you need.
Understand the Plan
This requires a bit of application and proactivity from your side. Don’t take a salesman’s word as the gold standard, do your research as best as possible. Most plans come with brochures that are available in the physical form or online, make sure you go over the respective plans in detail. Understanding your plan and following the rules will help you get the best healthcare service out there and save money in the process.
Don’t Delay
Once you have decided on the right plan, make sure you get cracking buying the insurance as early as possible. People often make the mistake of delaying getting medical insurance which ends up costing them dearly later down the road. The cost of delays can sometimes be as high as 10 times the cost of the premium.
Avail Tax Benefits
Premium payments for health insurance are covered under Section 80D of the Income Tax Act. Every time you pay a premium towards your health insurance you stand to benefit from income tax deductions. If you pay your premiums regularly, make sure you understand which tax benefits you can avail for fewer tax cuts.
Evaluate Insurance Coverage
It’s a common mistake to maintain the same sum assured overtime. However, with rising healthcare costs and inflation, you will need a sufficient sum assured when the need arises. It’s therefore important to evaluate your insurance coverage periodically and especially at the time of renewals. Make sure you are getting the right coverage – a 10% YOY increase is ideal to keep pace with inflation and rising medical costs. If you already have a policy that is under covered, you can buy an add-on cover that makes up for the deficit.

Final Thoughts

Having adequate health insurance can be a breath of fresh air, especially under the present covid-19 pandemic. Doing so will save you considerable trouble when the need arises. Additionally, ensuring that you are making the most out of your health insurance plan can be a task that requires constant review and attention. Following the points mentioned above will help you get the best possible coverage for your money.

Disclaimer- The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

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