The health insurance industry in India has experienced remarkable progress, with public sector insurers amassing an impressive ₹272 billion in insurance premiums. Similarly, private insurers contributed almost ₹159 billion, while standalone health insurers accounted for about ₹151 billion.

These figures underscore the growing recognition and significance of health insurance in safeguarding individuals and families against unexpected healthcare costs. Taking care of health and protecting yourself from unforeseen medical expenses is essential, especially in a country like India with rising healthcare costs.

However, rising premiums on such insurance can strain finances. The good news is there are practical strategies to cut the premium without sacrificing the coverage you need. Here is how:

Compare plans

Take time to research and compare plans from multiple insurers. Don’t just focus on the premium amount; consider factors such as coverage limits, deductibles, copayments, and the network of hospitals and clinics associated with each plan. By making a thorough comparison, you can find a policy that not only fits the budget but also provides comprehensive coverage you need.

Higher deductible plan

In the process of selecting a health insurance plan, it would be prudent to take into account the option of availing a higher deductible. It refers to the amount an individual must pay from his/her pocket before becoming eligible for insurance coverage. Higher deductible results in bearing more upfront expenses, which, in turn, cuts risk for the insurer and leads to lower premium. However, it is vital to pick a manageable deductible amount to prepare for unforeseen medical emergency.

Preventive care

In India, many health insurers provide wellness programmes and preventive-care benefits one should embrace. These services often incorporate annual health check-ups, screenings, and vaccinations. Availing them can aid in effectively managing health and early identification of any potential underlying health concerns.

This procative method not only helps maintain good health but also cuts the probability of requiring expensive treatments later on. Some insurers may offer incentives or discounts to policyholders prioritising preventive care.

Family floater plan

Selecting family floater plans is highly recommended, if you have a family. The policies cover the family under one plan and are often more economical than buying individual policies. They offer shared coverage and guarantee comprehensive protection. However, it is important to evaluate the sum insured to ensure it satisfactorily fulfills the healthcare needs of all members.

Healthy lifestyle

Incorporating healthy habits into daily routine can surprisingly lead to a reduction in premium. In India, insurers frequently provide policyholders with discounts or incentives if they prioritise physical and emotional well-being. Those not smoking or exercising regularly may qualify for lower premiums.

Updating plan

It is imperative to perform a yearly assessment of the policy during the renewal phase. As healthcare needs progress, you must take the opportunity to meticulously evaluate the present coverage, advantages, and restrictions. Verify if your policy is still congruent with your necessities and financial plan. If you realise your current policy no longer meets your needs or if you find more economical alternatives, do not hesitate to investigate changing to another insurer or plan that provides superior value for money. By being proactive and keeping track of the policy, you can ensure adequate coverage at acceptable cost.

Note: The aim is to strike a suitable equilibrium between reasonable cost and extensive coverage with regard to premium. By taking into account these strategies, one can arrive at informed conclusions coinciding with healthcare needs and monetary circumstances. Each person’s situation may differ, hence it is crucial to evaluate one’s necessities and engage in discussions with insurance experts to decide on the most optimal choice. It is crucial to assess one’s needs and seek advice from insurance experts for personalised strategies. Using these methods, you can manage health and finances effectively while ensuring optimal health insurance coverage.

(The writer is Business Head, Health Insurance, Policybazaar.com)

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