Health insurance: Things to consider before renewing policy

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Health insurance plays a pivotal role in everybody’s life and it has only increased in importance during the pandemic. It gives financial protection to you and your family if you are confronted with any drain due to expensive treatment. However, just like buying health insurance policy, it is also important that one renews it is time. The policy needs to be renewed every year. Experts usually recommend that one should initiate to renew the plan at least 15 to 30 days prior to the due date.

Generally, most health insurance providers offer a grace period of 15 to 30 days. If the premium payment is not done in the grace period, the policy lapses.

Here are some of the most important things to consider before renewing a health insurance plan.

Let’s take a look:

Change of insured members

A health insurance renewal is the best time to add or remove any members from your policy coverage according to your changing needs.

Increase sum insured

Before renewing a health insurance policy, you can assess the sum insured needed. Every insurer gives this option to the buyer at the time of renewal.

Top-up plans

Top-ups play a very important role in increasing your insurance benefits. If you feel that your current health insurance policy is not enough, you can opt to top up plans at the time of policy renewal.

Terms and conditions

Insurance terms and conditions may change from time to time due to changes in company policies or regulatory norms. So, at the time of policy renewal one should check the policy details such as sum insured, number and type of claims made, no-claim bonus etc.

Requirements review 

A medical insurance renewal is a good time to review the current status of your health and other insured persons to make any change in your policy as needed.

Disclosure of any new illness

If you or any insured family member has a new ailment or illness, you must inform your insurance company at the time of renewal.

Consider portability

Health insurance portability is an option to switch one’s policy from the existing insurance company to another ones. When you change your health insurance policy from one insurance company to another, you don’t lose the benefits you have earned. At the time of your policy renewal one may consider this option if he or she wishes.