Financial experts believe that investing in a health insurance plan is the beginning of a wise investment journey. Even before you start investing in stocks, real estate, and startups, you should invest in a Health Plan that provides health cover for you and your family. This article discusses various features and factors you should consider to get the best health insurance plan for you and your family.
Why Should You Get Health Insurance?
Knowing the reason for getting a health plan is vital as it helps you choose the correct plan. With medical inflation rates on the rise, it is important to choose the right plan. Presently, you might be fit and healthy, but that does not mean that you will stay healthy forever. We all know that accidents can happen anytime at any age. Although such events cannot be avoided, a health cover acts as a back up to take care of such sudden financial requirements. Moreover, sometimes, some medical conditions are so silent that their symptoms show up when the problem worsens. Having a health plan by your back takes care of that as well.
What Are Your Requirements?
Health plans are commonly categorized as defined-benefit plans and indemnity plans. The defined-benefit plans pay a complete amount irrespective of the hotel expense whereas, and indemnity plans reimburse the hotel expense. Indemnity plans are also known as family floater policy or mediclaim and should be the core of your insurance policy. You can further top it up with defined benefit plans like a critical illness plan. This helps you add daily hospital cash that you can use to meet incidental costs during hospitalization.
Which Plan Suits You the Most?
Many insurance seekers have this confusion of choosing a family plan or individual plan. If you want extensive coverage, you should choose a family insurance plan. Taking an individual Health plan helps you save your family from the adverse experience of the insurance company if you suffered the same. Moreover, it is also believed that the balance sum that is insured in a family insurance plan is not adequate.
In the case of an individual plan, you have to buy it individually for your spouse and children. Therefore, the premium will be according to the age and sum insured for every individual. However, some health plan provides a discount on the total premium if more than one family member gets insured at the same time. If a claim is made by one of the insured, the sum amount of the other on remains unaltered.
In a family insurance plan, two or more family members are covered simultaneously in the plan. In most family plans, both parents and children are simultaneously insured, and only one premium for all has to be paid. In a family health insurance plan, the cover amount can be availed by all of the family members and not by only one. A family health insurance plan can be beneficial because chances of all family members falling ill in the same year are less.
How Much Coverage Amount Is Required
There is no fixed cost as to how much coverage a health plan should have. The coverage can depend on the city you live in, the number of members in your family, history of family diseases, etc. Depending upon the above factors, your health insurance cover amount should be at least $250,000. In bigger cities, medical treatment is more expensive, and thus, you should select a cover amount accordingly. In smaller cities, you can manage with around $150,000, but in metropolitan cities, your cover should be at least $250,000 – $300,000.
Sub Limit of the Insurance Plan
Nowadays, many health plans have sub-limits included in them. Sub-limit means reimbursement limit is capped under a few or all of the cost heads. For e.g., the rent of the room can be capped at one percent of the cover amount. Therefore, irrespective of what the policy amount is, the insured will end up paying hospital bills if they cross the limit. Some plans might not have any such option, and some may give an option to add sub-limits at the time of buying.
Are Pre-existent Ailments covered?
Most health plans cover pre-existent ailments but after a certain waiting period. Some cover pre-existing ailments after 48 months whereas some do so after 36 months. At the time of applying for health insurance, it is vital to inform the provider about any sort of health problems or illness you have. This will help you get smooth claim settlements with any hassle. Coverage for certain illnesses has a waiting period of 12 to 24 months after which they can be covered.
Co-payments might not be important for young people but for seniors, and it is a vital option to have. In health plans for older people like the Gold or Platinum plans, the premium is higher. In this case, a co-payment can provide relief in terms of affordability as it helps to keep the premium low. However, some health insurance plans might ask for up to 20 percent co-payment if you get your treatment done in a city not included in the plan or a hospital not included in the plan.
Conclusion: What Should you do?
When you start looking for Health Insurance NY Small Business plans, you should start off by comparing a few plans from different providers. Go properly and thoroughly through the papers to get an idea about the inclusions and exclusions in the plan offered. Your decision should not be dependent only on the premium but other factors as well. You should prefer plans that are simple, have fewer restrictions and conditions, and have an easy claim process. Always remember that each and every member of your family, irrespective of their age, need health insurance.