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Quick Guide to Help You Buy Health Insurance Online

Quick Guide to Help You Buy Health Insurance Online

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Healthcare is not a choice anymore, it’s a necessity now that all of us are vulnerable to numerous diseases despite living a healthy lifestyle. But when it comes to the best medical care, it’s costly; so much so that you can end up in a deep financial crisis if you are not financially prepared.

Having a medical reserve, and life savings can definitely be your  savior. However, your life savings and medical reserves are the product of your hard-earned money, and they should be channeled to other key areas.

So, what solution do we have? It’s simple, buy health insurance online if you want to be financially protected against diseases and illnesses. 

What is Health Insurance?

Health insurance is a written document that puts the insurer under the obligation of providing financial cover against the financial repercussions of medical costs. In simple words, the health insurance company promises to pay the hospitalization costs, medical costs, among others of the insured when you buy health insurance online or offline.

That said, there’s no one-time cost when you buy health insurance online or offline. A health insurance policy is purchased against the premium that is paid regularly to the health insurance company Against this, the insured is paid extra financial benefit in form of health insurance cover. 

Factors to Consider Before you Buy Health Insurance Online 

When you buy health insurance online, you know it is not like buying any other product. There are lots of points and aspects to be mindful of to ensure that you are making a secure investment when you buy health insurance online.

Here are all the factors you need to consider before you buy health insurance online. 

1. Policy Inclusions 

When you buy Mediclaim online, most policies cover hospitalization expenses (pre-hospitalization + post-hospitalization) and additional expenses such as ambulance charges, daycare expenses, to name a few. However, the inclusions of these expenses vary according to the health insurance company. In other words, not all health insurance companies cover the additional expenses. Therefore, it’s essential to know what kind of expenses your policy covers before you buy health insurance online. 

2. Sub-Limits and Co-Payment Clause 

Most potential buyers are not aware of the sub-limits and co-payments clause when they buy health insurance online. The sub-limit clause puts a cap on the claim limit. In simple words, if your policy coverage is INR 50 lakh, and your sub-limit clause is 50%. It means you cannot claim more than INR 25 lakhs in one go. 

Alternatively, under a co-payment clause, the payment proportion is divided between the insurer and the insured. For instance, an insurer is supposed to pay 90% of the hospital bill, while the insured pays the remaining 10%.  That’s just an example though, it differs from insurer to insurer.

Both the clauses exist to limit the amount the insured can claim against a health insurance policy. The clauses prevent the policyholders from exhausting their health insurance policy.

3. Waiting Period 

A waiting period is the time window during which a policyholder cannot file a claim. A waiting period usually exists at the start of a policy or in case of pre-existing diseases. Nonetheless, it’s advisable to ensure that you do not buy mediclaim online which comes with a longer waiting period.

4. Ensure that You Know all the Terms and Conditions of the Policy 

Some health insurers make you promises that they won’t fulfil. Ergo, instead of the spoken word, go for the written word when you buy mediclaim online. This is to say, read the policy document clearly. Ensure that whatever is written on the website, or told by the insurer is mentioned in the policy document. 

Things to Look for While Comparing Health Insurance Policies Online

The key to buying health insurance online policy is comparing multiple policies online to find the right one. But the question comes, what should be the parameters? Here are the things to look for while comparing health insurance policies online: 

1. Claim Settlement Ratio of the Insurer 

Here’s a rule of thumb, always check the claim settlement ratio of an insurer. If you are comparing multiple policies, it’s suggested that you go for an insurer with a high claim settlement ratio. Choosing otherwise can put your investment at threat. 

A claim settlement ratio is an indication of the claim settlement capabilities of an insurer. A high claim settlement ratio would increase the possibility of your claim settlement given that you abide by the terms and conditions. 

2. Reviews and Complaints 

When you buy anything online, you check the reviews. Likewise, when you buy health insurance online, it’s essential to check the reviews before you give an insurer a go-ahead. You wouldn’t want to go with a health insurance provider that has a load full of complaints against them. It’s better to avoid them to safeguard your investment. 

3. Financial Well Being of the Insurer 

A claim settlement ratio is an indication of the claim settlement capabilities of an insurer. A high claim settlement ratio would increase the possibility of your claim settlement given that you abide by the terms and conditions. 

2. Reviews and Complaints 

When you buy anything online, you check the reviews. Likewise, when you buy health insurance online, it’s essential to check the reviews before you give an insurer a go-ahead. You wouldn’t want to go with a health insurance provider that has a load full of complaints against them. It’s better to avoid them to safeguard your investment. 

3. Financial Well Being of the Insurer 

The last thing you would want is to pick an insurer that has a poor financial record. An insurer needs to be financially sound before being able to settle your claims. Ergo, have a good look at their cash flow and solvency ratio. These two ratios indicate the financial capabilities of the insurers.

4. Cashless Hospitalization 

In a standard health insurance policy, the policyholder needs to pay the hospital bill first, and then they get reimbursed. While it’s convenient for some people, for most it is not owing to less or no liquidity. That said, cashless hospitalization is a benefit provided by most health insurance companies when you buy health insurance online.

Through the cashless hospitalization feature, you don’t need to pay the bill first. The insurer directly settles the hospital bill. This is only possible if your chosen hospital falls in the network of hospitals the insurer is tied up with.

So, when you are comparing health insurance online, ensure that the insurer has the hospital of your choice in their network.

5. No Claim Bonus

No claim bonus is a benefit offered by some health insurance companies in India. No claim bonus is a bonus given if the policyholder doesn’t file a claim in a year. It’s suggested to go for a health insurance company that offers no claim bonus.

Advantages to Get When you Buy Health Insurance Online

Now that everything is online, it has become possible to buy health insurance online. Here are all the advantages of buying health insurance online.

No Need to Visit Health Insurance Companies 

When you can buy health insurance online, you don’t need to make a hundred trips to the health insurance companies whether it is to buy health insurance or get your doubts cleared. In the digital era, healthcare is now a few clicks away.

Additionally, when you buy health insurance online, you avoid face to face interactions. This is suitable for those individuals who don’t prefer face to face conversations with the insurance company. 

Comparison has Become a lot Easier 

Now that almost every health insurance company has their own website, getting all the information you need is not difficult anymore. This is beneficial for potential buyers as the comparison has become a lot easier. You can compare a policy on the basis of policy benefits, claim settlement ratio, reviews, and financial standing of the health insurance companies.

Comparison has Become a lot Easier 

Now that almost every health insurance company has their own website, getting all the information you need is not difficult anymore. This is beneficial for potential buyers as the comparison has become a lot easier. You can compare a policy on the basis of policy benefits, claim settlement ratio, reviews, and financial standing of the health insurance companies.

 

Availability of Premium Calculators 

Most health insurance providers have now introduced premium calculators to simplify buying health insurance online. A health insurance premium calculator gives an approximate premium based on age, gender, and health condition. This approximate figure can help buyers make a sound choice when they buy health insurance online.

Efficient Customer Services 

Thanks to the digital era, customer services have grown extremely helpful and reliable. That said, when you buy health insurance online, you can get efficient customer service to help you out when you buy health insurance online, and also when you face any difficulty throughout the policy term. 

How to Buy Health Insurance Online? 

Now that we are aware of the advantages of buying health insurance online, it’s time we jump to the core question – how to buy health insurance online.

1. Choose the Insurer 

When you have compared multiple insurance policies and insurers based on the parameters mentioned above, it’s time to make the final call and choose the insurer. Once you are done choosing the insurer, visit their website to buy health insurance online.

2. Enter your Personal Details 

Some health insurance providers require you to enter your personal details, such as name, age, date of birth, email id, and phone number. The insurance agent would then contact you and help you buy mediclaim online.

3. Use a Health Insurance Premium Calculator 

A lot of health insurance companies provide insurance premium calculators on their website to help individuals buy health insurance online.  A health insurance premium calculator gives you a rough figure of premium depending on your age, medical history, gender, and many other factors.

4. Add to Cart 

If you are satisfied with the health insurance premium, you can go ahead and buy health insurance online. Just add to the cart and proceed with the payment. You will get the policy document once everything is done.

Frequently Asked Questions (FAQs)

1. What are the types of health insurance I can buy online? 

There are three types of health insurance policies that are most commonly found. These include individual health insurance, family floater health insurance and group health insurance. You can buy health insurance online by choosing the type of policy that fits your requirements the most.

2. What determines my health insurance premium?[1]

Health insurance is affected by a number of factors, including age, medical history, family medical history, lifestyle habits and policy tenure. 

3. What are the most common exclusions a health insurance policy?[2]

Most standard health insurance policies do not provide coverage for dental and cosmetic procedures, injuries caused due to self-harming, therapies including acupressure, naturopathy etc. Pre-existing medical conditions are also excluded in some health insurance policies; they come with a waiting period of 2-4 years, depending on the health insurance company.

4. Can I buy health insurance online? Is it a good decision?

Yes, you can definitely buy health insurance online. It is definitely a wise decision as it saves you from the obligation of making multiple visits and calling the insurance companies a million times. Just ensure that you are buying health insurance from trusted names.

5. What is a health insurance policy renewal?

Most health insurance policies (short-term health insurance policies) have a one-year tenure, past which they expire. It’s highly recommended to renew your health insurance policy before it expires. There is however a grace period of 30 days [1] after the health insurance policy expires, during which you have to renew your policy to keep your accumulated policy benefits. When you buy health insurance online, you have the option to renew it online as well as most health insurance policies allow that.

Sources:

1. https://www.policyholder.gov.in/you_and_your_health_insurance_policy_faqs.aspx

2. https://www.nhp.gov.in/sites/default/files/pdf/health_insurance_handbook.pdf

3. https://www.policyholder.gov.in/What_Health_Insurance_to_Buy.aspx

ARN No : Apr22/Bg/05

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