Buying a Second Health Insurance Policy? Here’s What You Should Know
To err is human. Often mistakes happen. Some mistakes do not have a financial impact while some others do. It can even happen when buying a health insurance policy.
For first time buyers, it can often be a decision where much thought isn’t given. At times, when a policy is purchased at the tail end of the financial year for tax benefits, the coverage under these plans isn’t well thought about.
If you have purchased such a policy and are unhappy with its coverage, you need not worry. You have the option to buy additional health insurance plans. But make sure you do not commit the same mistakes while buying your second policy.
Let us have a look at what you should consider when buying your second health insurance plan.
For starters, analyse your current situation as well as future requirements. Consider the medical needs of your family, your lifestyle and the income you can allocate for a health insurance policy. If you have missed on opting for add-on covers in your previous plan, you can select them wisely depending at this time of buying a second policy.
If you think it would be cumbersome to manage two policies at the same time, be rest assured. The right policy to complement your original insurance plan can make it a hassle-free experience.
Be cautious about the sum assured this time. If your previous policy coverage is insufficient and you wish to have a second insurance policy, the sum assured is the first thing that you should consider. If you are looking for a family health insurance policy, make sure you avail a higher sum assured. It will ensure all the beneficiaries of this plan will receive adequate coverage for their treatment. Take note of the fact that premium for such family cover is based on the age of the eldest member.
Analyse the requirements of all beneficiaries when buying a health insurance policy. Say, for example, you are purchasing this second insurance policy to provide coverage for your newborn baby. The requirement will significantly differ when opting senior citizen health insurance. Thus, you must look into the policy coverage when buying one. The inclusions, exclusions and waiting periods are examples to name a few.
If you are purchasing a second policy to complement your existing plan, make use of the top-up plans. These are an excellent way to cover the shortcoming of your already existing plan. A suitable combination of top-up plans with the existing policy can substantially increase the coverage of your policy. Similarly, if you have an existing group health insurance from your employer, you can opt for top-up covers to extend its policy coverage to include specific ailments.
Option for lifetime renewal
Some insurance companies have a cut-off age for renewal of the policy. If your existing policy has one, you have made the right decision to get a second health insurance plan. A lifelong renewal feature is handy so that you don’t have to search for insurance policies to cover your medical expenses when you grow old.
While you make a suitable choice of health insurance policy, do consider buying critical illness insurance as a second policy. It can be useful to protect against severe life-threatening illnesses whose treatment would otherwise cost an arm and a leg. Not all of these illnesses are covered under a standard health insurance policy.
To conclude, if there are problems with your current insurance policy, looking for alternatives can be useful. It can either be entirely replacing your existing health insurance policy or adding a second plan to make up for the shortcomings of your current policy.