Health insurance has always been the debatable topic in India. In times when we’ve numerous health plans to choose from, it is possible for the buyer to get confused. Also the way certain myths have been attributed to this sector, choosing the right policy becomes a nerve-wrecking exercise for most of the buyers. This is also the reason why many of them abstain from looking into this aspect of health insurance.
And when a claim is rejected, they are often at the loose end.
Let’s take a look at the few of the most glaring myths and the real facts behind them. Before that know other misconceptions about health insurance in India shared in Part 1.
My health insurance premiums will remain same if I don’t make any claims through the years.
Expenses related to hospitalization, cost of medication, and utilization of healthcare services are few factors that fall under medical inflation. The rising medical costs will definitely impact the amount of premium that you pay at the time of renewal.
In most cases, Health insurance premium is based on age slabs and it increases with your age. The health risks generally associated with old age has direct impact on the premium. This is primarily the reason customers are advised to buy health insurance when they are young. The adage- younger you are lesser will be the premium
, holds true here.
For example – A 5 lac cover for a 35 year old individual costs Rs 7437 with taxes, and the same cover will cost you Rs 8416 when you turn 36.
Read our post on why investing in a health plan before you turn 35 will be the best decision you’ll ever take in life.
Along with this, one must also note that the frequency of changes (rise) in the premium reflects the stability and risk management capability of your health insurance provider.
In case, your health plan brings frequent hike in your premium as well as adjustment in age based on the rates, as a health insurance buyer you should be vary of the same. As a next step, you may pose the question to your insurer/agent about the same.
Pre-existing diseases in health insurance are covered after the given waiting period. Thus, they don’t need to be declared in the proposal form.
Reality is all pre-existing diseases must be declared upfront at the time of buying the policy. According to an industry survey, only 33 percent of the respondents feel that pre-existing disease must be declared
One must declare any condition, ailment, and injury, for which there are visible symptoms. Also if any medical advice/treatment has been received for the same within 48 months of buying the policy, it should be declared.
An ailment for which regular treatment has been received and/or that is under control like diabetes is a pre-existing disease.
Importantly, any condition or ailment that remains undeclared by the customer on the proposal form is likely to result in the rejection of claim at a later stage. This is because it may be considered ‘undisclosed’ by the insurer.
I should not worry about hospital expenses when I have health insurance.
It must be understood that any expenses incurred during hospitalization will have a direct impact on the overall claims experience for the insurance company, which in turn, would lead to the increase in the premium amount in the future. This, in health insurance parlance, is called claim based loading.
As a result, it is important to pay attention to the expenses incurred during hospitalization to ensure that the hospital does not overcharge you, just because it knows you have a health insurance policy.
At the time of buying a health insurance policy, it is important to remember “we get what we pay for”. Thus, it is important to make an informed choice that is based well-researched facts and information rather than on popular myths.
Other than comparing different health plans on the online portals, a health insurance buyer must make a quick quality check before buying a health insurance policy
. This will help them categorize the best health insurance plan from the numerous plans available with different providers. Notably, they must look for a plan that is/has:
Rated highly on the parameter of factors that are important to you as a health insurance buyer. A plan that gives you adequate health cover with all the risks properly taken care of.
A quality health insurance plan is a one that does a good job to help buyers stay fit and get well/better after the treatment.
Wide pool of doctors and hospitals in the network especially the ones you want or need in/around your locality.
Offers services as and when needed by the health insurance buyers while meeting the budget for which treatment is sought by them.
We at Apollo Munich
always strive to provide you to the right information so that you can make the right decision. Busting Health Insurance myths is one way to educate the customers and alleviate any fears associated with Health insurance. Feel free to reach out to us if you want to know more about our Individual Health plans
or Family Health plans