Things to keep in mind
The applicability of the medical insurance deductibles and the payment terms are the two key factors that you must consider while buying a health cover. You must check the portions of the cover to which the deductible is applicable. Similarly, also find out the covers against which no deductible cover is required. For health deductibles payment, check how much you need to pay towards the health insurance deductibles and how often.
Difference between co-pay and deductibles
Co-payment is a predetermined and fixed amount paid by the policyholder each time a claim is made. While deductible is the amount that the policyholder pays before the insurer settles the claim, co-pay is a specific percentage of the claim that has to be paid by the policyholder. Nonetheless, both are expenses in the hands of the policyholder.
Why should you accept health insurance deductibles?
With deductibles, your propensity to raise claims is reduced, particularly the trivial ones. This protects your sum assured so that it can be used to the fullest if a significant medical emergency arrives. Raising no claims also earns you the No Claim Bonus, reducing your premium cost or considerably increasing your sum assured.
As mentioned earlier, the inclusion of a deductible also reduces your premium amount, so that you can buy a better health cover in the same budget.
One may note that the presence of deductibles means that you have to pay a portion of the hospital bill. In the case of smaller medical bills, you may end up paying most or all of it yourself. Nevertheless, medical insurance deductibles offer you the flexibility of rearranging your premium amount as per your affordability. A well-balanced health cover with your preferred deductible amount can safeguard you financially in your hour of need.