In India, healthcare costs have been rising at an alarming rate. Unexpected medical expenses can cause financial stress and anxiety, especially if you don’t have a plan in place to deal with them. One way to prepare for such unpredictable healthcare costs is to have individual health insurance. An individual health insurance plan offers financial protection against all forms of unplanned medical costs including hospitalisation, surgeries, and treatments. Your health insurance plan may also cover pre-existing medical conditions, which may not be covered because of a group health insurance policy. With a robust health insurance plan, you can focus on the treatment without worrying about finances.
In addition to having individual health insurance, there are other steps you can take to prepare for unanticipated healthcare expenditures. Here are some other tips to consider:
1. Build an emergency fund: Having an emergency fund is crucial to handle emergent expenditures, including medical bills. Save and set aside a part of your income each month in a separate savings account, so you have a cushion to fall back on when needed. Aim to build an emergency fund that can cover at least three to six months of living expenses. This way, you can pay for medical expenses without dipping into your regular savings or incurring debt.
Here are some tips on how to build your emergency fund:
- Automate your savings: To ensure regularity and ease, establish a recurring monthly transfer from your checking account to your emergency fund. This will help you save consistently without even thinking about it.
- Cut back on expenses: Identify areas where you can cut back on expenses, such as reducing the frequency of dining out, cancelling subscriptions, or seeking out more affordable options for regularly used products and services.
- Increase your income: Consider taking on a side job or finding ways to increase your income. This could be as simple as selling items you no longer need or offering your skills as a freelancer.
2. Understand your insurance coverage: If you have a health insurance plan, it is important to understand the policy and what it covers. Carefully read through the fine print to understand which expenses the coverage includes, as well as any limitations or exclusions that may apply. This will help you avoid surprises when it comes to medical bills. If you have not bought a health insurance plan yet, consider getting an individual health insurance plan. It may seem like an added expense, but in the long run, it can save you a lot.
Get the best individual health insurance policy by:
- Asking questions: If you’re unsure about any aspect of your insurance coverage, don’t hesitate to ask questions. Your insurance provider should be able to provide you with clear answers.
- Tracking your medical expenses: Keep track of your medical costs, including bills and receipts. This will help you stay on top of your healthcare spending and ensure that you’re not overcharged.
- Reviewing your policy annually: Your health insurance needs may change over time, so it’s important to review your policy annually to make sure it still meets your needs.
- Negotiate with healthcare providers: Medical bills are often negotiable, so don’t be afraid to ask for a discount or a payment plan. Several hospitals and healthcare providers offer financial assistance programs for patients who can’t afford their bills. You can also hire a medical billing advocate who can help you negotiate your bills and ensure that you’re not overcharged.
- Use healthcare benefits wisely: If you have a health insurance plan, make sure you’re using your benefits wisely. This means getting regular check-ups and preventive care, which can help you avoid costly medical procedures down the line. Use in-network providers to save on out-of-pocket expenses. Take advantage of telemedicine services, which can be more affordable and convenient than in-person visits.
- Seek financial assistance if needed: If you’re struggling to pay your medical bills, there are resources available to help. There are several financial assistance programs available for patients who meet certain income requirements. You can also apply for government healthcare programs such as Ayushman Bharat or Pradhan Mantri Jan Arogya Yojana. Additionally, there are crowdfunding platforms and medical loan providers that can help you raise funds for any surprising medical outlays.
Shop smart: How comparing health insurance plans can save you money
To select the most suitable health insurance plan for your requirements and budget, compare your options carefully. By comparing health insurance plans, you can find the best one for your needs and budget and avoid sudden surprises and expenses. Here are some factors to consider:
- Coverage: Ensure the plan covers the medical services you require, including hospitalisation, surgeries, and treatments. Additionally, verify if the plan includes pre-existing medical conditions, maternity expenses, and other specific treatments.
- Network: Check if the plan has a wide network of healthcare providers in your area, including hospitals, clinics, and doctors. Using network providers can help you save on non-insured payments.
- Premiums: Compare the premiums of different plans to find one that fits your budget. However, don’t choose a plan solely based on the premiums. Look at the overall value it provides.
- Deductibles and co-payments: Check the deductibles and copayments of the plan to understand your uncovered costs. A plan with a lower premium may have higher deductibles and copayments.
- Reviews & ratings: Read reviews and ratings of the insurance company and the plan to get an idea of the customer experience and satisfaction.
Unexpected medical expenses can be a burden, but you can stay prepared for them. Building an emergency fund, understanding your insurance coverage, negotiating with healthcare providers, using healthcare benefits wisely, and seeking financial assistance if needed can help you handle medical bills without breaking the bank. And remember, having an individual health insurance plan provides you with the peace of mind you need to deal with medical emergencies. Protect yourself against abrupt healthcare costs by investing in an individual health insurance policy today!
