How to Avoid Common Mistakes While Buying Health Insurance?
Buying health insurance is significant in order to get financial protection during unprecedented times. However, while purchasing a health insurance plan you need to be extra careful or you may end paying a high price to rectify your mistake. In case your health insurance planning goes south, you may not just have to compromise on getting quality healthcare but also you might run out on all your savings while managing medical expenses.
Common Mistakes at the Time of Purchasing a Health Insurance
Given below are few things to be considered at the time of purchasing a health insurance policy:
1. Hiding Medical History
Many individuals at the time of buying a health insurance policy try to conceal their medical history due to the fear of policy rejection or paying higher premiums. This mistake should be avoided at all costs and the policyholder should honestly inform the insurer regarding their lifestyle and medical history. As not disclosing your medical history and past habits could lead to rejection of your claim during the time of need.
2. Buying Insufficient Coverage
An individual can save taxes by buying a health insurance plan under section 80D of the income tax act. However, a person should not purchase health insurance just to save tax. The primary purpose of buying health insurance should be to get appropriate coverage on healthcare expenses in order to be prepared during a health emergency.
3. Not Reading the Policy Documents Carefully
A health insurance plan document has a lot of vital terms and conditions that the policyholder must go through carefully. Therefore, prior to making any decision and buying a health insurance policy, one must comprehend what is mentioned in the documents. Moreover, if you purchase a health insurance plan online, you can have easy access to all the terms and conditions on the website of the health insurance company. It is important to go through all the inclusions, exclusions, coverage offered, etc under the health insurance plan.
4. Not Checking List of Network Hospitals
Cashless claim benefit is one of the primary features highlighted by insurance providers. With this facility, a policyholder is not required to spend from their own pocket and all the medical expenses get settled directly between the hospital and insurer. Therefore, prior to signing any policy document, it is important for the policyholder to go through the list of network hospitals carefully and make sure that the major ones are added to the list. Moreover, see if a co-payment option is available before going to a particular hospital.
5. Ignoring Exclusions
Exclusions are when during a particular situation the insurance company does not offer any coverage to the policyholder. At the time of buying an insurance policy, individuals generally go through the inclusions offered by the insurer and ignore exclusions. However, ignoring exclusions can lead to more chances of claim rejection and can cause major trouble during the emergency. Therefore, it is recommended to go through the entire list of exclusions and other terms mentioned in the policy document before purchasing the policy.
Also Read
5 Factors to Consider While Buying a Health Insurance Plan
Tips To Reduce Your Health Insurance Premium
Take Away
At the time of purchasing a health insurance policy, it is quite common to make mistakes. However, proper background research and carefully read the entire terms and conditions mentioned in the policy documents will save you from making the common grave mistakes and assist you in making a good decision. Also, in case you haven't bought a health insurance plan till now, it is a perfect opportunity to purchase a policy now.
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.
