Updated on - 11 Feb 2026
Exploring health insurance policies for the first time may feel overwhelming. Most people often get confused by the wide range of plans and features available. Health insurance is designed to provide financial support for medical needs by covering expenses such as hospitalisation, surgeries, consultations and more.
For those new to the process, learning what to keep in mind while comparing plans and understanding what works best for them is essential to make an informed decision. This blog provides essential tips to help first-time health insurance shoppers find the ideal policy.
What are the tips for buying health insurance for the first time?
If you are buying health insurance for the first time, it can be difficult to decide which plan suits you best. Here are some essential tips that will help you make an informed decision and avoid confusion:
- Assess your health needs: Consider your age, lifestyle and medical history before selecting a plan. If you have dependents, a family floater plan might be more cost-effective than multiple individual policies.
- Decide the right sum insured: Rising medical costs mean you should opt for a sum insured that covers hospitalisation, surgeries and emergency care comfortably. Picking a cover that is too low to save money may leave you underinsured during emergencies.
- Compare multiple plans: Every insurer offers different inclusions, exclusions and benefits. Comparing policies side by side helps you identify the one that provides the best balance of coverage and affordability.
- Check waiting periods: Most health insurance plans have waiting periods for pre-existing illnesses and specific treatments. Being aware of these timelines in advance prevents disappointments during claim settlement.
- Review network hospitals: Cashless hospitalisation is a major benefit of health insurance, but it works only at network hospitals. Ensure that reputed hospitals near your home or workplace are included in the insurer’s list.
- Understand exclusions: Each policy comes with certain exclusions, such as cosmetic treatments or experimental procedures. Knowing what is not covered ensures you set realistic expectations about claim eligibility.
- Examine claim settlement ratio: The claim settlement ratio reflects how often an insurer honours claims. A higher ratio indicates trustworthiness and reduces the chances of delays or disputes during emergencies.
- Look for lifetime renewability: Choosing a plan with lifetime renewability ensures continued protection, especially when health risks increase with age. This prevents the need to switch plans later in life.
- Consider add-ons: Riders such as maternity cover, critical illness insurance or personal accident cover can enhance your policy. These add-ons give extra protection tailored to your lifestyle and your family’s needs.
- Balance cost with benefits: Avoid choosing the cheapest plan to save on premiums. Instead, look for a policy that offers comprehensive coverage at a reasonable price.
- Check for tax benefits: Health insurance premiums qualify for tax deductions under Section 80D of the Income Tax Act.
Why does choosing the right health insurance matter?
Choosing the right health insurance policy can help you manage medical expenses without putting sudden pressure on your savings. A suitable plan can cover hospitalisation costs, doctor’s consultation fees, medicines, diagnostic tests and sometimes even day-care procedures and therapies, depending on the terms and conditions of the insurer. This ensures you can access the right treatments and hospitals when needed.
If the policy coverage is too low, you may be responsible for a significant portion of the expenses on your own. Having the right plan gives you and your family peace of mind knowing that you are protected against most major medical emergencies.
Common mistakes first-time health insurance buyers make
When purchasing health insurance for the first time, it’s easy to overlook important details and make choices that may reduce the effectiveness of your plan. Some of the most common mistakes include:
- Choosing low coverage to save money: Many first-time buyers pick a low sum insured just to reduce premiums. This often proves insufficient when faced with major hospitalisation costs.
- Ignoring waiting periods: Failing to check the waiting periods for pre-existing diseases or specific treatments can result in rejected claims during the initial years.
- Not reading exclusions: Skipping the policy document means you may assume certain treatments are covered when they are not, causing unexpected expenses later.
- Focusing only on premiums: Opting for the cheapest plan without considering benefits, network hospitals and claim process may result in poor protection.
- Overlooking renewability: Some buyers ignore whether the policy offers lifetime renewability, which can cause problems when health risks increase with age.
- Not comparing plans: Failing to compare different insurers and plans often leads to missing out on better coverage or useful add-ons at a similar cost.
Conclusion
Securing a health insurance policy is essential to protect against rising medical costs and ensure timely access to quality healthcare services. However, the selection of the right plan is equally important. This is because the expenses of hospitalisation, treatments, medicines and diagnostic tests will be covered based on the cover you choose.
If you are looking for the best health insurance for you and your family, fill out the form on this page. Our experts will help you choose the right policy.
FAQs
1. What is the minimum age to buy health insurance?
You can usually buy individual health insurance from the age of 18, while children can be included in family floater plans from as young as 90 days, depending on the insurer.
2. Is a medical test required before buying health insurance?
It depends on your age, medical history and the insurer’s rules. Many young and healthy buyers can get policies without a medical check-up.
3. Can I use health insurance immediately after purchase?
Health insurance comes with waiting periods for certain treatments and pre-existing conditions, but accidental hospitalisation is generally covered from day one.
4. What happens if I miss a premium payment?
If you miss a premium payment, your policy may lapse after the grace period. Renewing on time is important to keep continuous coverage and avoid losing benefits like waiting period credits.
Disclaimer: The information provided in this blog is for educational and informational purposes only. It is not intended as a substitute for professional advice, diagnosis or treatment. Please consult a certified medical and/or nutrition professional for any questions. Relying on any information provided in this blog is solely at your own risk, and ICICI Lombard is not responsible for any effects or consequences resulting from the use of the information shared.