Health insurance is one of the most misunderstood financial products. Particularly in India, people have various misconceptions about health insurance, which stems from a lack of knowledge and understanding about insurance in general.
Below listed are a few common myths about health insurance policy, and the reality behind it.
Insurance is not needed while young and healthy
The truth is while you are young and healthy, it is the ideal time to buy a health insurance policy. When you buy a health cover early, you can get the cover at an affordable premium because the risk of getting hospitalized at a young age is minimal.
Also, at times certain diseases do not show any symptoms until they become critical. As per the regulations, pre-existing health conditions are covered only after a certain waiting period (which varies from insurer to insurer). Typically, the waiting period ranges up to 36 months from the date of buying the policy. Therefore, buying the insurance early gives you the financial cushion against such illness and coverage for the treatment cost.
A cheap policy is the best policy
A lot of people tend to make their insurance buying decision based on the premium. While it is fine to buy health insurance with a low premium, you must be aware of one of the fundamental health insurance facts that such policies have restricted offerings. While the cheap policies cover the obvious, you must look for a cost-effective plan that offers additional benefits to give you comprehensive coverage against all medical risks.
People who smoke cannot buy health insurance
Most health insurance companies are concerned only about the pre-existing medical conditions, which you must declare in the insurance form. If you are a smoker and have suffered from any medical condition because of it like respiratory problems, or lung cancer, you must disclose this as a pre-existing medical condition. The insurer may charge a high premium, but they will not deny you the insurance.
All the benefits become void if the insurance is renewed after the due date
It is one of the most common health insurance myths. It is paramount that you renew the policy every year before the due date and don’t break the continuity of the contract. But, if for any reason you fail to renew the policy, you can renew it within 30 days of the policy expiry date. It allows you to retain all the benefits of the policy and you can continue having the coverage.
24-hour hospitalization is mandatory to make a claim
Today, with medical technology improving at a rapid pace, some medical procedures and surgeries are completed within 24-hours and the patients do not need hospitalization. As such, most insurance companies in India offer plans that cover daycare procedures like dialysis, chemotherapy, eye surgery, etc. Make sure to read your policy terms to know exactly the kind of treatments that are covered under day care procedure.
Apart from the above-mentioned myths, people have many other misconceptions about health insurance. Be wary of such wrong information and study well to know everything about health insurance policies before picking the right plan that best suits your needs.
Explore the various benefits of health insurance plans in India.