How to Choose Best Health Insurance Plan?
Health Insurance or medical insurance or affordable health insurance or individual health insurance or group health insurance or business health insurance is a contract between the insurance company and policyholder.
Here as per the contract the insurance provider gives/offers various medical benefits to the insurer as per the specified contractual sum insured levels like room rent, defined Hospitalization expenses, air and normal ambulance charges, all medical tests like X-ray, Sonography, various laboratory tests, medical bills, cashless benefits, Third Party Assurance, etc.
Health Insurance companies are providing mainly two types of costs compensation which Pre & Post Hospitalizations.
Important Points to Remember While Choosing the Best Health Insurance Plan in India
- Claim Settlement Ratio: Means the total number of claims settled by the insurance company to the total number of claims received in the same duration of time. Tip of Experts explains that a High CSR shows that the company is very likely to settle a claim without any hassles with their clients.
- Network Hospitals: an insurer should have a good number of hospitals in its network in each city, which cater to various classes of people. Network hospitals must cover nursing homes, day-care treatments, and multiple disease expertise medical hospitals.
- Waiting Period for Pre-existing Illnesses: A longer waiting period for pre-existing illnesses can mean that you cannot make a claim for hospitalization, even though you are paying the premium. Tip of Experts explains that 2 years are the waiting period for pre-existing illness to be covered whereas some insurers specify this waiting period to be up to 4 years long.
- Premium Derived Values:Of course all insurance providers are charging different premiums for the values they are offering, but Premium Derived Values defines the value that the insurers are getting from the premiums they are willing to pay.
Let’s Understand the Need of Health Insurance by taking example of one of the Developed Country – United States of America
Around 70% aged people in United States supports the individual health savings accounts to support them against medical emergencies for their old aged days, new research says.
The research findings also suggests that most of the citizens want to buy health insurance before the age of 60.
Without Mediclaim it will not be easy.
Most of the older citizens are about to face miserable problems once they enter in their 60s. They are often facing problems with severe health issues, stagnant income, rising health costs,etc.
According to the researchers, more than 50 percent of working person or having working spouse would not have health insurance benefits after retirement. Researchers also found that more than 10 million old aged people are not insured or have history of improper health insurance.
More than 20 percent people above fifty years are found that they have not visited doctors or hospitals, or regular medical check ups or continue their medical treatments due to the heavy medical cost. More than 34 percent are found problems in settling their medicine bills in the last few years or still paying medicine debts.
If Developed countries are facing these massive Health Insurance problems than India & other developing countries must blow whistle for need of Health Insurance, defining ways to reach end level, reduced cost of premium of insurance,etc.
In today’s competitive business world most of the earning person are ignoring the need of Health Insurance & facing severe financial crisis after their 60s.