While it is advisable that everyone should get a health insurance for themselves and their families, the needs would definitely vary from person to person, and likewise the cover amount. Those who are getting health insurance for the first time are often overwhelmed regarding the amount of insurance they should opt for and various insurance companies try to woo them with various plans. One should understand the factors which are at play here and then understand their coverage requirements. After all, the money from the insurance would go towards covering all the treatment expenses in case there is a medical emergency in the family, right from OPD expenses to surgery costs. These factors may help you decide:
· The ability to pay the premiums on time is a major deciding factor while choosing the insurance amount. The greater the sum assured and associated benefits, the higher will be the premium amount. If one cannot pay a huge premium at the beginning, they should ideally go for a limited cover at a lower premium and can then increase it gradually.
· The Annual Income Percentage is always directly proportional to the health insurance cover and the insurance providers take the annual income of the prospective policy holder into account to determine the maximum health insurance cover he or she is eligible for.
· The family history of the policy holder will also be a matter to be taken into account. If there is a family history of health problems or there have been illnesses contracted by your family members, then it would be a good idea to go for a family health check up and determine the chances of your getting the disease and then choose a cover that would ensure that it covers its treatment.
· The age of the prospective policyholder will play a major role in choosing the health insurance coverage. Those who tend to buy their insurance policies at a young age stand a better chance of availing premiums. The higher the age is, especially over 45, the greater would be the premium amount because of the increased chances of health risks. One may also opt for a critical insurance cover over the regular insurance.
· The health insurance cover will depend on the grade of the hospital where you hope to seek treatment. Ideally, everyone would want to get the best treatment for the family but there are differences in hospital grades where the same treatment would have different costs. Try to figure out the expense rates of the hospitals you would prefer to go to and then opt for the insurance.
It is a good thing that at times employers too provide health insurance to their employees but it only lasts till they continue with the company. Hence, it is good idea to get an alternative policy for oneself as well, without only waiting on the company insurance policy. This would also help the policyholder in case of layoffs or when one is in between jobs and any medical emergency during that time will be taken care of. And just in case one is only opting for health insurance cover to avail tax benefits then they may simply opt for a cover amount which will help them save the desired tax amount, and there is no need to go for a comprehensive cover.
In all the above mentioned cases, it is a good idea to properly judge whether the insurance cover will be able to meet the demands of the family in case there is a medical emergency.