In today’s fast-paced world, medical emergencies can strike like a bolt from the blue and may take a significant toll on our pockets. That is why purchasing the best individual health insurance policy is very important to protect you and your family members from such odds. With so many options, it is essential to navigate the market carefully and make an informed decision. Here is a detailed checklist that will guide you through the process of selecting the perfect health insurance plan that caters to your unique needs.
How to Select the Best Individual Health Insurance Policy?
To choose the best health insurance policy, you should consider the following factors:
Choose an Adequate Sum Insured Amount
The sum insured is the maximum that an insurance company can pay for your medical expenses during the policy period. So, consider age, previous medical history, and future health needs while choosing your coverage. As a general rule, target the sum insured to be at least 5 to 10 times your annual income. Don't sell yourself short here. Medical costs can quickly spiral, and you have to be well-prepared.
Choose the Right Coverage Type
While choosing any health insurance policy, consider the interests of your entire family. Though an individual plan promises to give you maximum coverage, a family floater plan can be very cost-effective. The sum insured should be sufficient to pay for more than one member's hospitalisation.
Check the Pre-existing Disease Waiting Period
If you have any pre-existing health conditions, pay close attention to the waiting periods imposed by the insurer. Some may have an elimination period of up to 4 years. So, choose a plan with the shortest waiting period to cover your needs sooner.
Pick an Insurer with a High Claim Settlement Ratio
The claim settlement ratio refers to how reliable an insurer is. It tells how many claims the insurer has settled out of those received. Look for companies with a claim settlement ratio above 85%. This indicates their strong record of honouring their commitments.
Check for Cashless Hospitalisation
Cashless hospitalisation at network hospitals can be a lifesaver during emergencies. This is because you won't have to worry about paying hefty bills upfront. Check that the insurer you choose has quality hospitals near you in their network.
Check for Smooth Claim Settlement Process
Familiarise yourself with the insurer's claim settlement process, the amount of documentation involved, and, most importantly, the response time for claim processing. This will ensure that you don't experience any problems when you finally have to file one for yourself.
Compare Premium
While the premium amount shouldn't be the sole deciding factor, it's still important to choose a plan that fits within your budget. Weigh the premium against the coverage and benefits offered to ensure you get the best value for your money.
Check the Reviews
Reviews and testimonials can reveal how reliable and customer-friendly an insurer is. Spend time online to see what people say about your prospective insurer.
Read the Policy Exclusions
It’s crucial to understand what is not covered by your policy. Common exclusions include cosmetic surgery, dental treatment, and certain types of alternative medicine. Knowing these can help you avoid unexpected expenses during a claim.
Conclusion
Checking off each of these points detailed above will help you navigate the world of individual health insurance. It will also ensure that your plan appropriately balances comprehensive coverage with affordability. Remember that your health is your very instrumental and invaluable asset. The right policy today can set one's mind at peace and bring financial security for many years.
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 your general physician or another certified medical professional for any questions regarding a medical condition. 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.