With healthcare expenses on the rise, purchasing a health insurance policy is the only way to ensure that your savings remain intact in the event of a medical emergency. While the process of finding and purchasing the right policy can seem like a rather demanding task in itself, policyholders must make sure to keep the points mentioned below in mind to ensure that they don’t face any hassles during the policy tenure.
1. Read through your policy document: When you purchase any insurance plan, the insurer will provide you a policy document that will contain details of your policy and all the terms and conditions. Regardless of the type of policy you have purchased, be it a general health insurance policy or a mediclaim policy, it is important that you know that your policy comes with a free-look period. As a policy buyer, you are given a certain number of days to read through your policy document and return the policy if you find it unsatisfactory. Thus, it is essential that you read through your policy document carefully and ensure that everything meets your expectations and that all the details you furnished are correct.
2. Follow-up with the insurer for your ID Card: In most cases, your insurance provider will send you an ID card or Health Card within 15 days of issuing the policy document, since this has been mandated by the Insurance Regulatory and Development Authority of India (IRDAI). However, if you haven’t received your ID card within the stipulated time period, make sure to follow-up with your insurer for the same. It is necessary that you have your ID card with you at all times, since you will need to mandatorily display this at the hospital registration desk in order to avail cashless hospitalisation facility.
3. Understand the claim procedure: Regardless of the type of insurance you have purchased, be it a life, health, or a motor insurance plan, it is necessary that you understand the exact claim procedure in order to be prepared for an emergency. Thus, make sure to read your policy document or visit the insurer’s website and make a note of the claim procedure, list of documents to be submitted at the time of making a claim, the TPA’s contact number, if applicable, etc. This will ensure that your hospitalisation and the resulting claim and claim settlement happens in a smooth and hassle-free manner.
4. Inform your family about the policy: It is vital that you inform your family that you have purchased a health insurance plan and take them through the benefits and claims procedures. In the event of an emergency, your family will have to know how to avail the policy benefits and raise a claim with the insurer. Further, make sure to give at least one of your family members a copy of your policy document and inform them where your ID card is kept.
5. Prepare for premium payments: In order to keep your health insurance plan running, it is necessary to pay the insurer a certain fee called the premium on a periodic basis. Thus, make sure to take a look at your budget and set aside some money on a monthly basis to cover these premium payments. Failure to pay your premium on-time could lead to your coverage getting terminated, which could then cause you to lose any accrued benefits.
6. Renew your policy on-time: Unlike life insurance policies that come with a comparatively longer policy tenure, health insurance plans need to be renewed either on an annual basis or every 2-3 years. Your insurer will most likely send you notifications to remind you to renew your policy before the completion of the policy tenure, thus making it all the more important for you to provide your correct contact details and not dismiss any communications that you receive from the insurer.
7. Claim your tax rebate: Your health insurance plan can help you claim tax benefits under Section 80D of the Income Tax Act. Not only can you claim tax benefits for premiums that you pay towards your policy, but you can also claim tax benefits for premiums that you pay for your spouse’s policy or your parents’ policy. Thus, make sure to use your health insurance plan as a tax-saving instrument, in order to make the most out of the policy.
The importance of a health insurance policy cannot be overstated. Make sure to have an active health cover for yourself and your dependents, at all times. Along with a health insurance policy, make sure to also purchase a life insurance policy for yourself and a car or two-wheeler insurance policy if you own a vehicle, in order to safeguard the other areas of your life.
(This post has been contributed by Bankbazaar.com)
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