Tips to Control Your Increasing Health Insurance Premium

Tips to Control Your Increasing Health Insurance PremiumThe cost of health care has increased significantly over the years. The corresponding conversations across the country have been feeding inflation. Statistics show that this hike in health insurance premium has made multiple dents in your wallet over the last decade. Considering healthcare inflation, there has been a significant rise in your healthcare expenses while there is no relevant increase in the value of your health insurance in the meanwhile.

The fact is that Indian healthcare industry is hardly ever talked about, whereas certain factors like your age and your previous claims have caused annual premium hike radically. Despite this, there are multiple factors that affect your annual premium and make dents in your wallet. Well, if you are aware of such factors, then you can certainly find a way out.

Below are a few of such factors along with their way outs respectively:

1.Inflation in the Healthcare IndustryHealthcare industry in India, factually, grows at an annual rate of 12 to 18 percent. This does appear to be among the chief factors that lead to your premium hike. In other words, with the increasing cost of healthcare treatment at the hospitals besides the medicinal expenses, the companies offering health insurance in India increase the premium you pay for the coverage. This, in turn, eats up your hard-earned monthly earnings.

Way out: A simple way to reduce the impact of inflation on your wallet is that you review the existing cover and balance it accordingly for your family. With the age of the senior most member of your family reaching 40, enhance the existing cover to make it adequate.

2.Get Insured at a Young AgeIn contrast to life insurance, health insurance in India does not assure you that you will be paying a constant amount of money as the premium. Well, you might not know it but your health insurance premium is strictly associated with your age.

When you purchase a health insurance policy, its eligibility criteria includes your age, medical background, and sum assured as the key points. If you purchase health insurance when you actually need it, you may have to pay a comparatively large premium because it goes up with your age. Thus, it’s recommended to purchase a policy when you are young and have started earning already.

Way out: Purchasing health insurance at a young age is recommended because you are less susceptible to diseases then, and thus, you will have to pay comparatively less premium.

3. Healthcare Claim Experience

Every time you need to file a claim, you have to approach either your insurer or TPA (Third-party Administrator) for processing of your application. In the meantime, it remains clear to you that your premium is going to be higher on policy renewal. Moreover, you might not be allowed to file multiple claims during a policy year. If you’re not, then you can opt for the Co-pay option if available.Way out: When purchasing a health insurance policy, make sure you verify the claim settlement ratio (CSR) of the company. In fact, the higher the CSR of an insurance company the better it’s to purchase health insurance from it.

Take Action Now!It’s wise to purchase health insurance for your family and yourself. However, it’s even wiser to purchase it at a young age so that you have to pay comparatively less premium. Various plans like HDFC ERGO health insurance, Bajaj Allianz Health Insurance and more offer comprehensive benefits and you can choose one from them. For convenience, compare multiple health insurance policies online and choose your insurer now!

Prateek is a seasoned independent writer. His explanatory and creative writing style helps understand the subject matter easily and offers tips, tricks and expert suggestions for Star Health Insurance polices..