These Tips Can Help You Build a Resilient Health Insurance Portfolio
Insurance was once upon a time a luxury that only the elite considered when planning the finances. But considering the rising cost of medical inflation, it has become necessary that everyone must plan for it. It is no longer a notion that only the rich can plan for it since policies are available at different price points. Thus, it is necessary that every individual strategically incorporates insurance planning into their financial plan.
But when it comes to a health insurance policy, there is no one-size-fits-all approach. Based on the individual requirements, one must buy a policy supporting your financial goals. With the backup of a health insurance plan, you can ensure your financial goals are achieved despite unexpected medical emergencies. This article lists down some tips that can help in building a resilient health insurance portfolio. Continue reading to know more.
- Identify your requirements
The first step in building a robust insurance portfolio is to know what your requirements are. Just like buying any other product, you need to identify what exactly you want the insurance policy to cover for. This identification will help in establishing a checklist of the necessary features in an insurance plan. There are myriad insurance policies classified in different types and knowing of your requirements helps to select a policy according to your need. At this stage, make sure you have gathered adequate information answering the question: what is health insurance and the different types of plans. *
- Quantify those requirements
Once you have an idea of the requirements of a health insurance policy, it becomes easy to shortlist a few among the plethora of insurance covers. Quantifying the amount of insurance cover helps to decide what coverage will be ideal considering your family medical history and current lifestyle conditions. Your likely out-of-pocket expenses in case of a medical emergency is the amount of insurance coverage you must buy at the minimum. To this amount, the growth rate of medical inflation must be added to have a sufficient health cover considering the future requirements. *
- Know the different types of health insurance plans
Once you have determined your requirements and how much coverage you need, you can start with shortlisting policies from all the different types of health insurance policies that are designed to check all the right boxes for you. For instance, you have a family medical history of critical illness affecting in older age. That’s when you must buy a critical illness cover at an early age to keep the premium at an affordable level. Further, instead of managing multiple policies for your family members, you can choose to opt for a family floater plan that covers all members together in a single premium payment. *
- Periodic review of insurance cover
Selecting the right policy isn’t sufficient, but also ensuring a periodic review of the same. This review process helps to make necessary amendments in coverage based on the changing conditions like lifestyle, medical inflation, changing health conditions and the like. Thus, make sure to review your insurance coverage at each renewal date to ensure the right policy is available going forward. *
* Standard T&C Apply
With these tips, selecting an insurance policy should be a simple and an informed decision. In addition to these points, make sure you read the policy terms thoroughly to understand the nitty-gritties of your insurance cover. Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms and conditions, please read sales brochure/policy wording carefully before concluding a sale.