Is It Wise To Buy Health Insurance Plans With Expensive Premium?
Updated On Oct 13, 2022
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High-value medical insurance policies are more thorough and all-encompassing, providing enough protection to keep up with rising healthcare expenditures while also covering several critical illnesses and cutting-edge treatments. You will discover the necessity of high-quality health insurance policies and their particular advantages in this post.
In India, What Is High-Value Health Insurance?
A high-value health insurance programme is made to pay for pricey medical procedures. The sum insured for these plans can typically reach Rs. 1 crore or higher. The sum insured amount is what sets high-value medical insurance apart from standard health insurance.
Who Ought To Choose Expensive Health Insurance?
Your decision to choose a high-value health insurance plan will undoubtedly depend on your net worth, health insurance requirements, and expected future income. Health insurance is still a necessity , though, and you should choose to have it if you can afford the expensive payment. Additionally, if you see yourself needing medical care abroad, you should think about investing in high-end health insurance.
Due to the increased premium required, obtaining high-value health insurance can be difficult if you are not a high net worth individual (HNI). If you are not an HNI, you can choose to expand the basic plan's coverage by purchasing a top-up or super top-up plan. Features and advantages of expensive medical insurance
Advantages Of A Costly Insurance
The advantages and characteristics of high-value health insurance are listed here:
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Provides Thorough Coverage
This extensive health insurance plan covers childbirth, serious illnesses, organ transplant, advanced-stage cancer, health exams, OPD costs, and more.
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Treatments Abroad
Covers medical costs associated with procedures carried out in other nations. Treatment abroad may cost higher compared to the cost of medicine in India.
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Rent For Hospital Rooms Is Not Subject To Any Sub Limits
The conditions of your health insurance policy, hospitalisation standards, and potential application to low-category rooms all apply, though.
The Drawbacks Of Expensive Health Insurance
High-value medical insurance has benefits, but it also has disadvantages. Let’s take a look a them:
- Higher Premium
Obviously, health insurance with a higher covered amount requires a higher premium than standard plans. People from low-income groups could not choose to purchase a high-value health plan because of how pricey they are.
- Stricter Underwriting Criteria
When compared to standard health insurance policies, the high-value medical insurance underwriting criteria are stricter.
- Higher Copay For Seniors
Although co-pay is a standard feature of senior health insurance plans, high-value health insurance may subject seniors to co-pays of up to 15% or more, increasing their out-of-pocket expenses.
Factors To Consider Before Choosing Premium
Before choosing the ideal health insurance plan for you or your family, it is advised that you take into consideration the following factors.
- Ability To Pay The Premium
Not everyone can afford a health insurance plan that costs Rs. 1 crore. Since the payment is directly inversely related to the sum covered, you should consider your ability to pay the premium before choosing the best plan. A health insurance policy must typically have a sum insured between 50% and 100% of your annual income.
- Family Medical History
You should choose health insurance with broader coverage and purchase the plan as early as feasible if any members of your family have a history of hereditary disease, chronic or lifestyle disorders, or both.
- Age
The person's age is one of the most important considerations for determining the quantity of coverage. There is a relatively minimal probability of getting sick when you are 25. Additionally, accidents may cause unanticipated injuries to you that may necessitate hospitalisation. Hence, a health insurance plan with a lower sum insured amount of Rs. 3 lakhs to Rs. 4 lakhs may suffice. However, the likelihood of getting sick grows as you grow becomes higher so you should get broader coverage.
Conclusion
Make sure the plan you purchase is comprehensive and reasonably priced for you and your family. Your funds may run out if you get a health insurance plan that is more expensive than you can afford. You must therefore pick a plan that fulfils your needs while being cost-effective after considering a variety of possibilities.
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