People end up paying hefty amounts as premium for life insurance & mediclaims for financial support during unforeseen incidents. However research says there has always been an underlying fear of failure of the policy during critical hours. What if the insurance fails to pay the maturity amount when someone needs it the most.
At the time of medical emergency, the most common sight is that of people being declined their claims or health insurance not providing enough coverage to meet the requirements. Although it is convenient to curse the insurers, but on close assessment, we may find that the fault may be ours. If not with us, then the circumstances related to the whole process of buying health care insurance.
Below are some of the mistakes plan holders do and end up with failed policy:
1. Thorough knowledge & proper research on the policy
Insurance is still an evolving market and not many people are aware about the health plans’ existence, leave aside the various options available. There may be multiple such plans in market, so it is better to assess all of them & take a final call. Rather than going by peer pressure or insurance agents’ selling tactics causing a customer to make the wrong purchase, it is advisable to thoroughly study the policy details and start paying.
2. Complete Medical Coverage
The cost of medical treatment is going sky high these days and without adequate cover even the best health insurance policy is in vain. Having a health plan for the sake of it does nothing for you. You may buy a plan covering upto 2 Lacs, but your parent’s angioplasty & cardiac surgery was worth 5 lacs. Hence your plan may be of no use if not checked carefully.
3. Don’t only go by the tax benefit
A buyer might think that he had bought the best health insurance policy by paying a premium of Rs. 15,000/-, but he might not even check if it covers any pre-existing diseases or if the plan provides for the pre and post hospitalization expenses. This can prove costly later on. Hence tax rebate should not be the only concern while buying a policy, rather the long term benefits need to be clearly fathomed.
4. The more hidden, the more critical
Although the technical terms & conditions may sound monotonous, it is highly recommended to go through the same before taking any decision on insurance purchase. Without knowing our rights and duties, how can we be assured of a great deal? The waiting period, the list of diseases etc need to be scrutinized in the initial stage.
5. Long term disadvantages of lower premiums
We try to save costs everywhere and think that lower premiums on health insurance would mean a great deal! The truth is that lower premiums would mean lesser benefits as well. The insurer might not cover you for certain diseases or may not provide you for pre and post hospitalization expenses or may put a cap on your expenses for certain surgeries. During such times, the health care insurance you bought would be nothing but a piece of paper.
6. You are the decision maker, not your agent
Insurance agents try selling the plans fetching them the maximum commission. They will avoid mentioning the hidden guidelines & conditions while presenting the plan to you. However it is your responsibility to question them, compare with similar existing plans (Eg. Policybazaar.com) in market & buy the one best suited & applicable for you.
Avoid these mistakes and enjoy the benefits that health care insurance plans have to offer. They are made to help you face financial hardships during a medical emergency. Ensure that you are extremely careful while buying them. It’s your health after all and precaution is always better than cure, isn’t it?
