scorecardresearchWhy does family health insurance need a timely revaluation?

Why does family health insurance need a timely revaluation?

Updated: 05 Jul 2023, 08:40 AM IST

Timely revaluation of family health insurance is essential to ensure adequate coverage to address rising medical expenses while also taking advantage of new policy features, premiums, and network providers.

Timely revaluation of family health insurance is vital.

Timely revaluation of family health insurance is vital.

Family health insurance provides medical coverage for all the members of a family, ensuring access to healthcare services and financial protection against medical expenses. It safeguards your finances against the high costs of medical services including hospitalisation, procedures, doctor visits, diagnostic tests, and prescriptions.

The policyholder, their spouse, parents, and any dependent children are often covered under family health insurance. Some of the common additional benefits that fall under this policy include maternity coverage, pre-existing condition coverage, and preventative care depending on the type of policy/coverage one has opted for.

Timely revaluation of family health insurance is vital for several reasons. Healthcare costs are subject to inflation and fluctuations, making it crucial to review and adjust the sum insured and coverage limits to address rising medical expenses.

Additionally, evolving healthcare needs, policy enhancements, premium optimization, policy comparisons, and annual policy renewals necessitate regular revaluation to ensure that your family's health insurance remains effective, relevant, and aligned with their specific healthcare requirements.

Now, let us deep dive into the following reasons in detail to understand why family health insurance demands timely revaluation:

Evolving healthcare needs: As your family grows and ages, their healthcare needs may change significantly. It's vital to reexamine your health plan to make sure it can regulate new needs, such as maternity expenses, pre-existing condition coverage, or access to treatments for specific illnesses.

Premium optimization: Through revaluation, you have the opportunity to thoroughly examine the premium structure of your family's health insurance. This assessment allows you to explore premium optimization alternatives, such as adjusting coverage (as per your changing needs), deductibles, or co-payment terms. This ensures that your policy remains affordable and aligned with your budget while still providing essential coverage for your family's healthcare needs.

Policy renewal: Having your family’s health insurance plan renewed annually is a common and informed practice that must be followed by every policyholder. It is crucial to conduct a comprehensive evaluation of the policy's terms, conditions, and coverage restrictions before renewing. This ensures that the insurance aligns with the evolving healthcare needs of your family and provides the necessary coverage for medical emergencies, preventive care, hospitalisation, and specialised treatments.

Policy enhancements: Insurance companies may introduce new policy features, perks, or add-ons from time to time. Policy revaluation allows you to assess these enhancements and consider upgrading your coverage to take advantage of improved benefits, additional perks, or specialised services that may better suit your family's evolving healthcare needs.

Changing healthcare costs: Timely revaluation of your family health insurance is essential to ensure that the total sum insured and coverage limitations remain adequate to address the constantly rising medical expenses. It helps protect your family from financial burdens and ensures that you can access quality healthcare without being overwhelmed by escalating healthcare costs.

Policy comparison: Revaluation helps you to conduct a comprehensive comparison between your existing family health insurance policy and offerings from other insurers. This critical evaluation ensures that you have the opportunity to secure the best coverage, perks, and overall value for your hard-earned money. It enables you to make an informed decision by considering alternative policies that may better meet your family's healthcare needs and budget.

New healthcare providers and network: Insurance companies regularly update their network of doctors, hospitals, and clinics depending on the changing regulations. When you reevaluate your family health insurance, you can verify if your preferred hospitals are still part of the network. This guarantees easy access to high-quality healthcare services without interruptions or unpredicted out-of-pocket costs, giving you and your family the peace of mind that comes from realising that you will continue to get treatment from highly regarded healthcare experts.

By prioritising the timely revaluation of your family health insurance, you ensure that it remains relevant, appropriate, and aligned with the ever-changing healthcare landscape. This proactive approach safeguards your family's financial well-being, providing a safety net during unforeseen medical emergencies. Keep yourself and those you love safe, and feel at ease knowing that your insurance is updated and equipped to meet your family's medical requirements.

Rakesh Goyal, Director, Probus Insurance Broker

85% of the respondents would consider cutting down on some luxury items so that they could spend more on health insurance
First Published: 05 Jul 2023, 08:40 AM IST