Economical Health Insurance plans are worthy too:
By: Insurance
| Posted: Oct 18, 2011
Healthcare expenses are surging every day. Therefore health insurance companies are mushrooming. They are doing very rigorous promotion to make people aware about the worth of health insurance. When it comes to medical insurance people often feel that the more the premium rates of a plan are, the better will be its worth. To some extent it is true, because the plans which are comparatively cheaper have lesser number of benefits covered.
But, it does not mean that the cheaper or economical health insurance plans are worthless. There is no limit for insuring one's health. The companies can add on more and more features to their plans and the customers can have a more extensive cover. There is a thing called optimum or economical by which people can insure their health to the extent they think they require and they can afford. Cheaper health insurance might not be a good choice to cut down the healthcare expenses. Therefore, people should personally compare and select plans as per their needs. If people can have this understanding that the cost of a plan depends upon the various factors, then they can help in finding a suitable plan for themselves.
Some of the factors deciding which make a plan costlier or economical are:
a. Entry Age
b. Number of benefits covered
c. Variant of plan chosen
d. Additional and optional covers
e. Amount of sum insured
The entry age of a person is a big factor in deciding the premium rate of a plan. If the insurance seeker is young then the rate of premium will be least. As age advances, one may get prone to a number of disease therefore, keeping any kind of pre-existing illnesses in mind, the insurance companies suggest people to go for health insurance at an early age. There is a waiting period for some specific diseases and it is expected that the insurance seeker is not suffering from any ailment at the time of policy inception. By the time the policy holder gets his/her plan renewed for say 2-3yrs, most of the waiting period clauses gets over.
There are a number of plans which offer optimum coverage for medical treatments but there are many people who do not know how to select a plan. They simply go on the advertorial and think what is presented in the best manner can be the best plan for them. The benefits can very well decide if it is an economical health insurance plan or not. For example, if inpatient treatment cover is included in a plan then its premium will be higher than to a plan which has outpatient treatment cover only. Daycare procedures, domiciliary treatments, pre and post hospitalization expenses also decide whether a plan is going to be cheap or costly. It depends on the people what they choose.
Almost every health insurance plan is available in two to three variants. The basic to most extensive versions of a plan can have wide difference in their rates. The basic version may cover only few important benefits and the higher versions can have more benefits. Accordingly their premium rates will vary. People can opt for any of the variants of a plan depending upon the version they choose.
Many plans offer additional benefits like maternity benefit and critical illness cover. In case a person wants to go for any such additional or optional cover they obviously he/she will have to pay more as compared to what he/she will pay without opting for those additional benefits. Mostly, it has been observed that people who seek economical health insurance go for choosing the medium variant of a plan with a medium or average amount of sum insured. There cannot be a definition of what exactly a person may need and what the insurance company is offering.
One of the biggest factors in deciding the economical value of a plan is the amount of sum insured. People can avail same plan and all the benefits under a particular variants but the percentage of expenses covered will depend upon the amount of sum insured. The sum insured may start from Rs. 1, 00,000 to Rs. 10, 00,000 or even more. Every insurance company gives this liberty to its policy holders to choose the variants and amount of sum insured for the available plan. Moreover, there are many exclusions and inclusions for every policy. Sometimes, there are exclusions for even a specific variant of a policy. People should read the complete policy wordings and the list of benefits offered under any plan before buying it.
Economical health insurance plans do exist. It is the understanding of the people opting for health insurance how much they understand and how much they can have benefit from their insurance plans. The more the homework is done the better is the resulting decision. A number of websites provide online comparison between the similar types of plans offered by various companies. But one thing should be kept in mind while going for online insurance that once an option is selected, it cannot be undone. Also once the payment has been made online, it cannot be recalled back. There it is the personal responsibility of every individual going for health insurance be it offline, or online, that he/she should check and understand what he/she is going to buy.
Apollo Munich offers few of the most economical plans which can cover daily cash for hospitalization to critical illness. A complete list of such plans is available on company's website. There is a special feature of calculating the premium rates online as per one's preferred entries. There is a comparison chart as well which offers clear cut comparison between all the variants under which a particular plan is offered. In just few simple clicks one can compare, select, buy and even renew and claim health insurance policies.
About the Author
I am a business writer with keen interest in writing on finance products, especially on Insurance.
Source:
http://www.articlesbase.com/insurance-articles/economical-health-insurance-plans-are-worthy-too-5315714.html
By: Insurance
| Posted: Oct 18, 2011
Healthcare expenses are surging every day. Therefore health insurance companies are mushrooming. They are doing very rigorous promotion to make people aware about the worth of health insurance. When it comes to medical insurance people often feel that the more the premium rates of a plan are, the better will be its worth. To some extent it is true, because the plans which are comparatively cheaper have lesser number of benefits covered.
But, it does not mean that the cheaper or economical health insurance plans are worthless. There is no limit for insuring one's health. The companies can add on more and more features to their plans and the customers can have a more extensive cover. There is a thing called optimum or economical by which people can insure their health to the extent they think they require and they can afford. Cheaper health insurance might not be a good choice to cut down the healthcare expenses. Therefore, people should personally compare and select plans as per their needs. If people can have this understanding that the cost of a plan depends upon the various factors, then they can help in finding a suitable plan for themselves.
Some of the factors deciding which make a plan costlier or economical are:
a. Entry Age
b. Number of benefits covered
c. Variant of plan chosen
d. Additional and optional covers
e. Amount of sum insured
The entry age of a person is a big factor in deciding the premium rate of a plan. If the insurance seeker is young then the rate of premium will be least. As age advances, one may get prone to a number of disease therefore, keeping any kind of pre-existing illnesses in mind, the insurance companies suggest people to go for health insurance at an early age. There is a waiting period for some specific diseases and it is expected that the insurance seeker is not suffering from any ailment at the time of policy inception. By the time the policy holder gets his/her plan renewed for say 2-3yrs, most of the waiting period clauses gets over.
There are a number of plans which offer optimum coverage for medical treatments but there are many people who do not know how to select a plan. They simply go on the advertorial and think what is presented in the best manner can be the best plan for them. The benefits can very well decide if it is an economical health insurance plan or not. For example, if inpatient treatment cover is included in a plan then its premium will be higher than to a plan which has outpatient treatment cover only. Daycare procedures, domiciliary treatments, pre and post hospitalization expenses also decide whether a plan is going to be cheap or costly. It depends on the people what they choose.
Almost every health insurance plan is available in two to three variants. The basic to most extensive versions of a plan can have wide difference in their rates. The basic version may cover only few important benefits and the higher versions can have more benefits. Accordingly their premium rates will vary. People can opt for any of the variants of a plan depending upon the version they choose.
Many plans offer additional benefits like maternity benefit and critical illness cover. In case a person wants to go for any such additional or optional cover they obviously he/she will have to pay more as compared to what he/she will pay without opting for those additional benefits. Mostly, it has been observed that people who seek economical health insurance go for choosing the medium variant of a plan with a medium or average amount of sum insured. There cannot be a definition of what exactly a person may need and what the insurance company is offering.
One of the biggest factors in deciding the economical value of a plan is the amount of sum insured. People can avail same plan and all the benefits under a particular variants but the percentage of expenses covered will depend upon the amount of sum insured. The sum insured may start from Rs. 1, 00,000 to Rs. 10, 00,000 or even more. Every insurance company gives this liberty to its policy holders to choose the variants and amount of sum insured for the available plan. Moreover, there are many exclusions and inclusions for every policy. Sometimes, there are exclusions for even a specific variant of a policy. People should read the complete policy wordings and the list of benefits offered under any plan before buying it.
Economical health insurance plans do exist. It is the understanding of the people opting for health insurance how much they understand and how much they can have benefit from their insurance plans. The more the homework is done the better is the resulting decision. A number of websites provide online comparison between the similar types of plans offered by various companies. But one thing should be kept in mind while going for online insurance that once an option is selected, it cannot be undone. Also once the payment has been made online, it cannot be recalled back. There it is the personal responsibility of every individual going for health insurance be it offline, or online, that he/she should check and understand what he/she is going to buy.
Apollo Munich offers few of the most economical plans which can cover daily cash for hospitalization to critical illness. A complete list of such plans is available on company's website. There is a special feature of calculating the premium rates online as per one's preferred entries. There is a comparison chart as well which offers clear cut comparison between all the variants under which a particular plan is offered. In just few simple clicks one can compare, select, buy and even renew and claim health insurance policies.
About the Author
I am a business writer with keen interest in writing on finance products, especially on Insurance.
Source:
http://www.articlesbase.com/insurance-articles/economical-health-insurance-plans-are-worthy-too-5315714.html
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