5 Mistakes to Avoid While Buying Health Insurance Policy

Having a health insurance policy in these uncertain times is a relief and an essential investment.

However, selecting the right health insurance policy is not an easy job. It is very crucial to consider and re-consider the various factors covered under the health insurance plan and avoid making any mistakes while buying or renewing one.

One must not ignore or overlook some of the vital aspects of a health insurance policy while buying or renewing the policy.

Despite people often make certain mistakes when opting for a health insurance policy. These mistakes may prove to be unfavourable later down the road; hence it is advisable to be aware of them.

With that settled, here are some of the most common mistakes to avoid while buying a health insurance policy.

1. Not getting sufficient coverage:

It is essential to do proper research about various health insurance plans and the cost of premium. Sometimes, in order to save some money in premium, people end up getting an insufficient health insurance coverage. Though the cost of the premium plays a vital role in deciding which policy to buy, but it is not the only deciding factor. One must understand the basic purpose of the health insurance policy, which is to protect you from an unnecessary financial burden at the time of a medical emergency. Hence, buying coverage that will protect you and your family adequately is more crucial.

2. Not disclosing medical history:

Buying health insurance provides you with financial protection in the time of a medical emergency. In order to do this, your insurer must be aware of your medical history and current health status. Telling your insurance provider about any pre-existing condition you have is of utmost importance, as hiding your medical history may prove to be harmful during the claim settlement, where your claim may get rejected on the grounds that the pre-existing condition was not accounted in the policy earlier. However, if you disclose this information to your insurer, there are chances that you might get coverage for a recurring medical issue.

3. Ignoring the exclusions:

Even though most health insurance policies have comprehensive coverage, some policies have exclusions that get overlooked by the buyer. Exclusions are the conditions that are not covered by the insurer. Many times, people only consider the coverage offered by the policy and overlook the exclusions in the policy documents. Being unaware of the exclusions increases the chances of claim rejection and disappointment at the time of claim settlement if it is for an excluded ailment/illness. It is crucial to always go through the exclusions of your health insurance plan so that you can make a claim accordingly. Going through the exclusions also helps you decide whether to buy the policy or not.

4. Ignoring the added benefits:

Having a comprehensive health insurance plan may cost a little more than a basic health insurance plan, but the added benefits one gets with a comprehensive plan are worth spending a little extra in the premium. Ignoring these added benefits may limit your health insurance cover and the overall protection; these benefits may include ambulance charges, hospitalization expenses, cashless hospitalization etc.

5. Overlooking small details:

Even though most people carefully understand and know the things covered in the policy, they often overlook the small details pertaining the functionality of the policy. The functional details help you plan better for the future or for any unprecedented accidents that might happen. These will also help you understand if the policy in question is worth buying in the first place. Even if you have missed checking these details you can avail the benefit of a free look period. Almost every health insurance policy has an option of free look period of 15 days. Where after buying the policy, you have a time of 15 days to go through each and every detail of your health insurance plan. If during this period you find any clause as problematic, you can cancel the plan and the company shall pay you back your money as per its T&Cs.

"To Err is Human", hence making mistakes is common, but avoiding those mistakes when you have a chance is much better. Now that you are aware of the above mistakes to avoid while buying a health insurance plan, choose the plan that provides you with the best coverage benefits and pays the claims when they incur.

Avoid the above mistakes and choose a health insurance policy suitable to your needs from various plans by Kotak General Insurance.

Related Blogs

Planning to buy a mediclaim policy, Here's what you need to know

How to Select Right Health Insurance Plan

Factors to Keep in Mind While Investing in a Health Insurance Policy