We choose our career, do a lot of hard work and make money. While we earn money, the majority of us save and even invest some percentage of it. We also save some money for our old age since developing certain illnesses is quite normal. And the medical treatment for above 60 years of age of people is even higher. This is why buying a health insurance plan at the right time is very important.
As you buy a health insurance plan, you get coverage for several things such as hospitalization, daycare treatment, pharmacy expenses, etc. However, to get the benefits of a health insurance policy, you must keep paying the premiums consistently. As the premiums of a health insurance policy are concerned, you can find out the amount of money you need to pay to continue your health insurance plan by using a health insurance premium calculator. Do you want to know how the premiums of a health insurance policy are determined? Well, there are certain factors which are taken into consideration. Here are some of them discussed below:
A policyholder who has a pre-existing illness is more likely to file a claim in the coming days. Although the majority of the health insurance policies provide coverage for pre-existing diseases after 2 to 4 years of buying the policy, the chances of filing a claim are always higher. This is one of the reasons why health insurance companies consider it expensive.
Type of health insurance plan
The premium that you pay for a health insurance plan, depends totally on the type of health insurance policy you have purchased. If you are opting for a critical illness health insurance plan, the premium you have to pay will be much higher. if you buy an individual health insurance plan, the premium will be different than a family floater health insurance plan.
Age and gender
Age matters while we talk about the premium of a health insurance policy. If the age of the policyholder is a little on the older side, the premium that has to be paid by him/her will be more. This happens because, with age, several health issues grow. Therefore, the coverage provided to the policyholder will be more. Many health insurance companies charge a lesser premium to female policyholders.
Family medical history
While you apply for buying a health insurance policy, you will be asked about your family medical history by the insurance company. On the basis of certain illnesses, the premium is decided by them. if there is no major illness that can be a matter of concern to the insurance company, the premium you will be charged won’t be much. On the other hand, if the illness can be a reason for health risk, you have to pay higher premiums. The majority of the insurance companies demand the policy buyers to undergo health checkups, no matter what is the age and gender of the policy buyer.
Insurance companies also enquire about your lifestyle choices. You might be asked whether you smoke or drink and on the basis of which your premium to be paid will be decided. If you are found to be a chain smoker, you would be required to pay higher premiums for the health insurance policy you buy.
These are some of the factors based on which the health insurance premiums are decided by the insurance companies. If you want to know more about the insurance companies and the parameters on the basis of which they determine the premiums of the policy buyers, you must visit the website of IIFL. Along with this, you will also find several health insurance policies that you might want to take a look at.