Why Family Health Insurance Plan Needs a Timely Re-evaluation

In this blog, we will discuss some vital facts about health insurance plans for family and the importance of timely re-evaluation of such plans.

New Delhi : ‘Health is wealth’ is a common proverb we all know. Let’s agree that our health is as valuable as our wealth. We will definitely understand the importance of protecting our health and that of our loved ones through a family health insurance or at least a mediclaim policy. A mediclaim policy only covers hospitalisation-related expenses whereas a health insurance offers wider coverage and more benefits.

Having an insurance plan in the current scenario, where lifestyle diseases, unprecedented viral pandemics, and serious illnesses are common occurrences. All these factors have reinforced the absolute necessity of safeguarding our family’s health, well-being, and finances from health-related distress.

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In this blog, we will discuss some vital facts about health insurance plans for family and the importance of timely re-evaluation of such plans.

What is a health insurance plan?

A health insurance plan provides optimal financial assistance in case of a medical emergency. It provides coverage for expenses such as costs of hospitalisation, specific medical treatments, consultations and diagnostic tests, major surgeries, daycare procedures, therapeutic rehabilitation, post-hospitalisation health checkups, and more.

Ideal Health Insurance Plan: Features and Attributes

The main features and attributes of an ideal health insurance plan include:

Family Floater Option

Good health insurance plans for family are the ones that offer comprehensive coverage , affordability, and convenience to the insured family. With a common sum insured, multiple family members can be covered, and these types of health plans are called family floater plans. Let’s understand what are the top attributes of good health insurance plans for family.

1. Comprehensive Financial Coverage: The best health insurance plans for family will offer comprehensive coverage for in-patient hospitalisation, pre-hospitalisation, and post-hospitalisation expenses. These plans cover everything, from hospital bed charges to surgery costs, doctor visits to medication, and more.
2. Cashless Treatment Facility– The availability of cashless hospitalisation at the insurer’s network of hospitals may be offered by the insurance plan you have invested in. This makes medical care convenient, hassle-free, and easy. In the current scenario, the Insurance Regulatory and Development Authority of India has introduced Cashless Everywhere, under which a policyholder can avail cashless medical facility at a hospital of their choice.
3. No Claim Bonus (NCB)– A health insurance plan for your family may include a no-claim bonus or reward. The insurer rewards the policyholder with a discount for every claim-free year, which the insured can use to get a discount on the renewal premium.
4. Add-On Cover-Good health insurance plans for a family will offer the option to increase coverage by adding covers for critical illnesses, accidents, and specific treatments. These add-on covers are subject to additional premium.

5. Tax Benefit-A health insurance policy provides you with tax deductions under Section 80D of the Indian Income Tax Act.

 

Why You Should Re-evaluate Your Family Health Insurance Plan?

Now that you know what to look for in an ideal health insurance policy, it is also important to re-evaluate your family health insurance plan regularly.

In this context, it’s worth remembering that a health insurance plan should never be forgotten after purchase. The plan that was ideal at the time of purchase may not be suitable after a few years, so reevaluating is essential. Some reasons necessitating the reevaluation are listed below:

1. Changes in Family Dynamics and Milestones Over Time

As time swishes past you, the situations and dynamics in your family start changing. How? Through the following life events:

• Marriage:You might get married and may want to insure the health of your spouse as well.
• Childbirth: Next, your family may start expanding soon. You may start planning for parenthood, and with that comes many additional expenses in the form of the baby’s paediatric care, prenatal care, and the cost of delivery. Therefore, you must check with the health insurance plan provider to find out whether your policy covers maternity or not.
• Growth:As your children grow up, you might experience varying health needs in your family.
• Ageing:As you start ageing, you may develop specific age-related health issues, and the same holds true for your parents, too.

To ensure your family health plan fits in perfectly with the evolving healthcare needs of your family, you must re-evaluate your health policy periodically. At the same time, having a mediclaim policy for your family is also a smart decision to ensure extra financial protection.

2. Changes in Your Finances

Your financial status may change due to factors like job changes and salary. Some of these changes may make it difficult for you to afford your current health insurance plan, or you may want to get a more comprehensive policy. A periodic reevaluation thus introduces you to a health plan that is within your budget while still offering the necessary coverage.

3. Need to Beat the Inflation

Healthcare costs are increasing significantly with every passing day. This is one of the unwanted outcomes of inflation. Medical treatments, thus, are becoming excessively expensive and far beyond the reach of the common man. By re-evaluating your family health plan or mediclaim policy from time to time, you can adjust your plan coverage and protect your finances against sudden healthcare inflation.

4. Find Out About Policy Add-Ons and Upgrades

Health insurance providers keep tweaking plans to introduce new features, coverage, benefits, and add-ons. By reviewing health insurance plans for your family, you will never miss out on the new benefits you are entitled to.

5. Find Out About Regulatory Changes

Family health insurance plans are subject to changes in laws and regulations. Regulatory changes may influence policy costs, coverage, and healthcare services. Timely reevaluation can help you stay informed, compliant, and reap the benefits of any new deductions that may come up.

Conclusion

Regular re-evaluation of your family’s health insurance plan and mediclaim policy ensures continued financial protection and adjustments to your family’s evolving needs. Timely plan re-evaluation helps you gain access to tailored coverage choices, comprehensive medical benefits, wellness incentives, specialised treatments, tax benefits, and more. These benefits clearly emphasisethe need for timely re-evaluation of your family health insurance plan to optimise your finances in times of illness.