7 Mistakes to Avoid When Buying Health Insurance

1
Buying insurance plan? 7 common mistakes to avoid
www.PolicyAdvisor.in
2
About Health Insurance

• Health insurance is most vital buy choices a man
  can make. It ensures you and your friends and
  family against life's unforeseen turns. With the
  right medical coverage, it's conceivable to save
  money and save lives.

www.PolicyAdvisor.in
3

• Buying insurance and buying the right insurance
  are two distinct things. Are you guilty of the
  same? Take a look at some of the common mistakes
  that people make when shopping for insurance
  plans.

www.PolicyAdvisor.in
4

• 1. Wrong priorities - An excellent sample of poor
  organizing happens toward the end of the
  financial year, when individuals hurry to
  purchase life or medical coverage for the
  tax-saving benefits. Tax benefits are indeed
  wonderful but they should not dictate the
  coverage, premium or other details of your
  insurance policy Buy a plan based on its merits
  and your needs .

www.PolicyAdvisor.in
5

• 2. Confusing insurance with investment - People
  are frequently disappointed to discover that
  their protection strategy offers no or
  constrained 'returns'. This is because insurance
  is strictly about risk protection whereas
  investment is about growing your savings. Despite
  the fact that packaged protection cum-venture
  items work for the right clients, the profits
  have a tendency to be lower than, say, for a
  common asset. Along these lines, it is essential
  to perceive the motivation behind protection
  before purchasing a strategy.

www.PolicyAdvisor.in
6

• 3. Choosing the cheapest policy - One major
  mistake that people make is to pick the plan that
  costs the least. You see this over a wide range
  of protection life, auto, travel, and so on. Your
  protection spend ought to be resolved not by the
  least expensive premium but rather by the
  greatest scope that you require and can afford,

www.PolicyAdvisor.in
7

• 4.Picking the wrong plan - This can be a major
  issue because the insurance would not cater to
  your needs satisfactorily. For example, why might
  you purchase a ULIP (where the premiums are
  regularly high) when you could get a higher death
  benefit from term life insurance? Then, a
  50-year-old ought not to purchase medical
  coverage unless it has a high reestablishment age.

www.PolicyAdvisor.in
8

• 5.Trusting the agent blindly - The point to note
  is that specialists are hoping to make a deal.
  Consequently, they may bypass certain key
  viewpoints, which could bring about mis-offering.
  Regardless of the fact that your specialists are
  generally fair, he/she does not have the required
  knowledge about your specific financial needs and
  may not inexorably have the capacity to propose
  the perfect product for you.

www.PolicyAdvisor.in
9
6.Not doing the math -

• Let us consider an example. a Various insurers
  providers are right now offering high-esteem
  medical coverage strategies with scope of between
  Rs. 25 lakh to Rs. 50 lakh. These policies are
  far more comprehensive than standard health
  plans, but their premiums are also extremely
  high. It might be reassuring to know that your
  plan covers everything from dental work to
  diagnostic tests, but note that most people do
  not incur more than a few lakh rupees per year on
  hospitalization and medical care. Given this
  connection, do you truly require the Rs. 50 lakh
  scope?

www.PolicyAdvisor.in
10

• 7.Underinsuring - Underinsurance is an especially
  treacherous issue on the grounds that you have
  protection, sufficiently not of it. Imagine
  filing a claim for car repairs only to learn that
  your insurer will fund only a fraction of the
  repair costs. Why? Since you are underinsured.
  The issue is amplified on account of medical
  coverage, for instance, when you look for
  treatment trusting that the protection will take
  care of a large portion of the expenses, just to
  find that it won't.

www.PolicyAdvisor.in
11
Thank You