Q. I am 27 and a married woman. I want to buy health insurance for my parents aged 55 years and 49 years old. Can you please suggest some tips to choose the best health insurance?
When choosing health insurance for your parents, it is important to ensure that you are getting the best coverage for their needs.
Coverage
The plan must offer comprehensive coverage for medical expenses such as hospitalisation, surgeries, doctor visits, prescription drugs, etc. As they are more likely to experience health issues and might need frequent and complex medical care as they age, the plan must cover chronic conditions and hospitalisation. Select a plan with comprehensive coverage and fewer limitations, so that your parents can have access to the care they need when they need it.
Hospitals network
Go through the list of network hospitals listed in the plan. Choose a plan that includes hospitals and doctors closer to your residence and are preferred by your parents. This will ensure that they have immediate access to the care they need and at a facility that they are comfortable with.
Cost
As people age, health insurance premiums tend to increase, making it important to consider the overall cost of the policy, including both the premium and out-of-pocket expenses. Compare the cost of different plans and find the one that fits in your budget so that your parents can access the care they need without causing you and them any financial strain.
Out-of-pocket expenses
These are the expenses that the policyholder must pay before the insurance coverage kicks in. Consider how much you can and are willing to pay out-of-pocket and choose a plan accordingly.
Claim settlement ratio
Look for the insurance company's claim settlement ratio, which is the ratio of claims settled to the total number of claims made. A higher ratio means that the insurer has a better claim settlement process and is more likely to pay out claims promptly and efficiently. Additionally, having a good claim settlement process also ensures that the policyholder is not denied the coverage they are entitled to, because of technicalities or lack of adequate documentation.
Pre-existing conditions
When choosing health insurance for your parents, it is crucial to ensure that the policy covers pre-existing conditions. These are medical conditions that existed before the coverage began, such as diabetes or hypertension. Some insurance companies may not cover these conditions or may have a waiting period before coverage starts. It is important to carefully review the terms and conditions of the insurance plan and confirm that pre-existing conditions are covered to ensure that your parents have access to the medical care they need.
You should compare plans and prices from multiple insurers before deciding. It is always a good idea to consult an insurance agent or financial advisor for the best options.
International Money Matters Pvt Ltd is a 20-year-old SEBI registered financial planning-cum-investment advisory boutique. Please click here to find out more.
