Do you want to protect yourself and your family from medical debts? Are you confused with which medical insurance to choose? Then here you are at the right place where you will get complete insight about How to pick the best health insurance policy.
What is health insurance?
Health insurance is an assurance of medical coverage such as surgery, hospital room, medicines, tests, etc. If you have a health insurance policy, they will look after all of these charges for you. In return, they’ll charge you a small premium every year.
So, health insurance is a smart thing to have. Because it saves your health and it saves your bank balance too.
But not every health insurance provider is good. So, let’s see what are the 6 parameters that you require to check before you purchase health insurance.
1.Claim Settlement Ratio
Claim Settlement means how much percent of an insurance claim has been resolved by the insurance policy provider. If the settlement ratio is more from the number of claims, the more are the chances that your claim will also be settled by this company without any issues. Above 90% is a good percentage for claim settlement.
2. Network Hospital Covered
Now, there is something called a ‘cashless facility’ wherein, if that insurance provider has an association with the hospital that you are admitted to then the hospital will directly send the bills to the insurance provider. You don’t need to pay anything. But if there is no such association, then you have to clear the hospital bills first and then get them reimbursed from the insurance company. It is too much of a nuisance if you are recovering or have a patient to take care of. So ensure that your insurance provider has a tie-up with a large network of hospitals especially the ones that are closer to your home.
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3. Hospital room eligibility
Not all insurance policies cover the hospital room facility. Some of the policies provide a general room facility wherein you will get a shared room. At times it can be a hassle to be in and it can make the patient uncomfortable, who is already in distress. So ensure that your insurance incorporates at least the cheapest private room available.
4. Waiting period
Health insurance policies include pre-existing illnesses after a certain wait period. For example: Suppose you have diabetes, then after 2-4 years of the waiting period, you can claim any hospitalization due to diabetes. Therefore if you have any pre-existing illness, verify that the waiting period of that insurance is as less as possible.
5. Family Floater Health Insurance Policy
Now, rather than buying separate policies, parents along with 2 minor children can be combined in one plan. Under that plan, depending on the insurance provider each insured member will be given a separate coverage amount or all the members will share a combined sum. For example, suppose it’s a policy of 10 lakhs for 5 members, so each of these 5 members can either have, 2 lakhs coverage each OR they can share 10 lakhs no matter who claims.
The premium of such insurance is slightly higher but they are a money saver because you don’t have to spend on multiple policies. By the way, if your employer is giving you a health insurance policy then check if you can also cover your parents in the same. Because I think, your organization will be able to negotiate with the insurance provider better than you more so if you do it as a group.
6. Miscellaneous charges
Simultaneously with the major surgical expenses, a good policy also covers ambulance charges, pre, and post-hospitalization charges and some even add in a few health checkups here and there.
- Apart from these 6 general parameters, the other parameters that differ from person to person that you need to review are these.
- – Suppose you are thinking of a baby and want maternity charges covered.
- – In case your family has a story of cancer and you want to be covered for chemotherapy, radiation, or any other specific critical illnesses.
- – If you want general-care procedures like cataract surgery or even dental included.
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Health Insurance is a big decision with several variables to consider. Each individual has a different requirement than the other. Therefore, the best health insurance policy for me will be different than the best health insurance policy for you. These are the six parameters that will help you to pick the best health insurance policy.