Health Insurance Policy: Do's And Don'ts

In this article we have listed some of the important things that you should remember before renewing your health plan each year

One of the most crucial parts of your financial planning is to protect your life and health. This can be done by buying an appropriate life and health insurance plan. While the importance of life insurance is pretty much straightforward – protecting your dependents financially in your absence – when it comes to health insurance, it offers coverage for medical expenses incurred by the policyholder during the policy period. There are various kinds of health plans and so depending upon the type of health cover you opt for, the features and policy wordings change. Typically, medical expenses include hospitalization expenses, day-care procedures, domiciliary hospitalisation, pre, and post-hospitalization expenses, etc.

Having said that, a policyholder can opt for various riders as well, which can get attached to the standard health insurance policy to cover additional expenses such as donor expenses, critical illness cover, personal accident cover, etc. Although health insurance plans are typically a one-year contract and require to be renewed every year, these days insurers do offer two-year and three-year plans. Some insurance companies may inform you regarding the renewal of the policy by sending a renewal notice but it is the responsibility of the policyholder to renew the policy and enjoy the benefits of the policy.