Health Insurance - ways to reduce the premium burden

 Health Insurance: Let’s reduce the health insurance Premium burden like this:

Health Insurance: The health insurance premium is likely to increase. In this context, let’s take a look at some of the ways to reduce this burden.

Insurance companies are reportedly gearing up to increase the premium amounts of health insurance on health insurance policies. This is because health insurance claims have increased post-Covid! That is why companies are taking steps towards increasing the premium amounts. The companies, which had increased the premium amount by up to 30% last year, will increase it again this year. In this context, let’s take a look at some of the ways to reduce the cost of the health insurance premium.

Buy Online

The first way to reduce the insurance premium is to buy your policy online. Online insurance distribution is a less expensive affair as compared to offline. This will enable companies to reduce operating costs to some extent. The companies offer a discount on the premium with the intention of transferring a part of this benefit to the policyholders.

At a young age:

Age is the factor that affects the health insurance premium the most. Buying at a young age will give you a discount. The premium is higher for those who have diseases from the beginning. As you get older, the chances of developing illness like diabetes and hypertension increase. Taking insurance at a young age when you are healthy can help you reduce the premium.

2-3 years at a time:

Nowadays most insurance companies offer health policies for 2-3 years. This will provide relief from the annual hike, along with the reduction in premium. You are likely to get a discount of up to 10% by opting for a 2-year health insurance policy and up to 15% off on the 3-year policy.

Family floater:

Health insurance needs vary from person to person. However, family floater plans are designed to suit all members of a family. Unlike the personal cover that applies only to one person, the family-floater plan covers the entire family’s medical expenses. It is available at a much lower premium as compared to taking an individual plan for each one. Anyone in need of medical treatment in the family can avail the sum assured under the plan.

No Claim Bonus:

‘No Claim Bonus(NCB)’ is a great way to get a higher sum insured at a lower cost. If no insurance is claimed during the policy terms, you can avail the additional sum insured as part of your policy for the next year without paying any additional premium. Nowadays, most insurance companies offer NCB facility. For example, let’s say you bought the policy with an amount of Rs 10 lack. The claim was not made for a few years in a row. Then there is a possibility of getting an insurance amount of Rs8-10 lakh in addition to the base policy. However, this varies depending on the policy. You need not know in advance what kind of NCB benefits, the policy you take provides.