Critical Illness Cover: Top 5 Tips to Save Money

We are at an increased risk of developing lifestyle-related critical diseases. One may assume that investing in a basic health insurance plan may be sufficient to cover all medical expenses. However, critical illnesses come with exorbitant treatment costs which may not be covered by your health insurance plan.Owing to these facts, incorporating a critical illness insurance cover has become a must in today’s day and age. It is very important to be financially prudent and wise while selecting a critical illness insurance cover. This is because healthcare costs in India are heading upwards and unfortunately, such illnesses are sure to drain a person financially.Thus, investment in critical health insurance is necessary, but so is being smart about making such a crucial decision. Following is a list of smart tips and points to keep in mind that will help you save money on critical illness insurance:

1. Understand your risk factors. Are you predisposed to certain illnesses? Do you have a family history of a particular disease? If yes, then make sure that your insurance plan covers the illnesses you are prone to.
2. Examine your corporate health insurance plan thoroughly before buying an independent cover. There may be a possibility that your employer’s plan offers you the coverage you need and maybe more!
3. Some policies come with built-in riders such as waiver of premium rider, room rent waiver, etc.  Such policies are more expensive in terms of their premiums. You may do away with such add-on riders that do not align with your requirements so as to reduce your premium burden.
4. Start early. This point cannot be emphasized enough. The earlier you start investing in a health insurance plan, the better protected you are. This is because, with age, one’s susceptibility to critical illnesses also increases. So insurance companies keep inflating the premium amount with each passing year. The older you are, the more it will cost you to protect yourself with a critical illness insurance cover.
5. Get rid of poor and unhealthy lifestyle choices, such as smoking or drinking. Insurance providers take into account each aspect of your medical condition before arriving at a premium amount. It is a known fact that people with unhealthy habits are more prone to critical illnesses. Therefore, such people always have to pay higher premiums. This shall be another good reason to kick your bad habits!

Critical illnesses are a matter of grave concern and should be considered in one’s financial planning. Therefore, critical illness insurance is the need of the hour.

The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.