Health insurance is vital for senior citizens. Without it, seniors are vulnerable to losing a chunk of their retirement corpus to a medical contingency. Even a few days of hospitalisation can cost them several lakhs of rupees.
The health insurance cost for senior citizens need not be high if one adopts the right approach. Find out how you can lower the health insurance expenses for senior citizens.
7 Ways to Bring Down the Health Insurance Cost for Senior Citizens
Here are some ways that can help you lower the cost of
health insurance for parents:
1.Compare Different Plans
Comparison is an essential aspect of buying insurance. To purchase the cheapest health insurance for senior citizens, compare different plans. Thanks to digitalisation, it is easy to compare various plans.
Today, several insurance providers offer health insurance plans for senior citizens. You can compare the offerings of various insurers online. Comparing helps you buy the cheapest health insurance for senior citizens. Choose a plan that fits your requirements and budget.
2. Consider Specific Senior Citizen Health Insurance Schemes
Buying a regular health insurance plan when you age can be costly. However, specific senior citizen health insurance schemes are available from insurers today. Insurers craft these plans keeping in mind the needs of senior citizens.
Buying such plans is not only easy on the pocket but also ensures you and your finances remain protected amid high medical inflation.
You can also enrol in several government schemes targeted at senior citizens. The central government and various state governments have launched affordable health insurance for senior citizens through which you can lower costs significantly.
3. Opt for Co-Pay and Sub-Limits
This is another way to lower the policy premium. A co-pay means you agree to pay a part of the medical bill out of your pocket while the insurer settles the rest.
For example, if you buy a health plan with a 10% co-pay and the hospitalisation bill comes to ₹1 lakh, you need to pay ₹10,000 from your pocket while the insurer will pay the remaining ₹90,000. Opting for a co-pay can help you buy a plan at an affordable price point.
However, the co-pay option may increase your out-of-pocket expenses at the time of treatment. Reliance General Insurance has a co-pay waiver add-on that completely eliminates any co-payment.
Opting for sub-limits can also help you reduce costs. Simply put, the sub-limit is the cap your insurer puts on things like room rent, doctor’s consultation, etc. For example, if your health plan has a room rent sub-limit of ₹5000 and you stay in a room of ₹10,000, you must pay the extra cost from your pocket.
4. Opt for Higher Deductibles
This is another way to reduce costs. You can choose a higher deductible towards your plan, as it will result in a lower health insurance premium. Deductible is the money you must pay from your pocket before getting coverage. Let us understand it with an example. Suppose you have a health plan with a deductible of ₹1 lakh.
The plan's sum insured is ₹6 lakhs, and your hospitalisation bill is ₹5 lakhs. As the plan has a ₹1 lakh deductible, you need to pay ₹1 lakh from your pocket first, while the insurer will pay the remaining ₹4 lakhs. It is wise to consider this option if you have enough funds to pay for out-of-pocket expenses.
5. Look for Super Top-Up Plans
Super top-up plans are an excellent way to reduce the health insurance cost for senior citizens. If the coverage from your base policy is not enough, you can opt for this type of health insurance for the elderly. It is not only cost-effective but also enhances your coverage. Here is how this plan works.
Suppose you have a health plan offering a sum insured of ₹6 lakhs. However, increased medical costs warrant you to have coverage of ₹10 lakhs. Buying another policy of ₹4 lakhs can be costly. Instead, you purchase a super top-up plan of ₹4 lakhs.
If you incur a bill of ₹9 lakhs, your base policy will cover ₹6 lakhs, while the super top-up plan will cover the remaining ₹3 lakhs. You can purchase a super top-up plan from the same or different insurer. However, buying this plan from the same insurer with whom you have the primary plan is wise.
6. Preserve the No Claims Bonus
No claim bonus is a reward your health insurer offers you if you do not make any claim in a year. Being healthy and fit increases your chances of non-hospitalisation. In such a scenario, there are fewer chances of making a claim.
Even if you are hospitalised, and the bill is not much, you can pay it from your pocket to preserve the no-claims bonus. When you renew your policy the following year, you get an enhanced sum insured at the same price. In other words, your coverage increases while the premium remains the same.
For example, the Reliance General Health Gain plan offers a no claim bonus of 33.33% for every claim-free year.
7. Maintain a Healthy Lifestyle
Maintaining a healthy lifestyle helps at all stages of life. To encourage a healthy lifestyle, insurers often reward policyholders with lower premiums. It also enables you to reduce the cost towards your health policy. You can also participate in insurers' wellness programmes to remain fit and reduce the costs of your health plan.
Conclusion
Rising medical costs make
health insurance an absolute must. While everybody needs it, senior citizens need it more as they do not have an active income. A medical emergency can burn a significant hole in their pocket and make them vulnerable to financial insecurity.
If you are looking to buy
health insurance for senior citizens, Reliance General Insurance offers you dedicated plans through which you can ensure your parents receive the best possible treatment. With a high sum insured and comprehensive benefits, our plans ensure senior citizens can enjoy the golden years of their life with complete peace of mind.
Avail them now!
Frequently Asked Questions
Which factors determine premiums for health insurance for senior citizens?
Premiums depend on age, policy type, co-pay and deductibles, among others. Pre-existing illnesses also play a vital role in computing health insurance premiums.
How can senior citizens find a good health insurance plan?
Choose a plan that meets your requirements. In addition to premiums, look at the insurer's claims settlement ratio and customer service, among other things. Compare different plans and read the policy's terms and conditions before buying.
Is it possible to get health insurance after 65?
Yes, you can get health insurance for senior citizens over 65 years of age. However, ensure that the coverage is enough and the terms and conditions suit you.
