Things to Look for Before Buying a Health Insurance

Things to Look for Before Buying a Health Insurance

It is imperative to do extensive research before buying individual health insurance or family health insurance plan

things to know before buying a health insurance

Having health insurance that covers most of your medical expenses is as important as following a healthy lifestyle. With medical costs increasing at an alarming speed and new diseases evolving every other day, it is a smart choice to have a health insurance plan. It acts as a safeguard against financial distress during medical emergencies with added tax benefits under the Income Tax Act, 1961.

Checklist for Buying a Health Insurance Plan

A good health insurance policy compensates for the maximum of your medical expenses incurred on treatment. Therefore, it is imperative to do extensive research before buying individual health insurance or family health insurance plan. Also, it is essential to check a few facts before finalizing a plan, to avoid confusion while claiming it.

Here are some of the factors you should consider while choosing a health plan, to ensure it caters to all your needs

Sum Insured

Sum insured is the maximum amount offered by the insurer in a policy year to the insured individual in case of a medical emergency or hospitalisation. Hence, when you plan to buy health insurance, it's better to go for a higher sum insured to get better coverage.


The premium amount depends upon various factors like the type of insurance policy, your age and gender, pre-existing illness(es), and your family medical history. Your lifestyle habits also play a role in the determination of the premium amount. Buying health insurance at an early age can give you a better deal on premiums.

No Claim Bonus (NCB)

Many insurance companies offer a bonus for every claim-free year to the insured. A claim-free year helps you reduce your premium. It makes you eligible for a certain percentage of reduction on the premium amount.

Aditya Birla Activ Assure Diamond Health plan provided by Bajaj Finance offers 10% NCB on the sum insured under the policy and can be accumulated up to 50%. The plan also offers a Super NCB, that enables a 50-100% bonus on the sum insured under the policy.

Waiting Period:

Most health insurance policies have an initial waiting period, also called the cooling period, of 30-90 days from its inception date. The waiting period differs from policy to policy.

Usually, for pre-existing illnesses like diabetes, thyroid, and others, the waiting period is for four years. For certain diseases like varicose vein, hernia, ENT diseases, bariatric surgery, etc., the waiting period is two years.

For those who have an existing health condition like asthma, blood pressure, cholesterol or diabetes (ABCD), Bajaj Finance offers Aditya Birla Activ Group Health Plan that gives you an exhaustive insurance coverage despite these ABCD conditions.


Many policyholders miss the fine prints on the insurance policy that are exclusions list or terms and conditions applied to the policy. However, it is the most crucial part of your insurance. You need to carefully read the policy wordings to know what is covered and not covered under your policy offerings. This will prevent any kind of disappointments during the claim process.

The usual exclusions include treatment of injuries caused due to suicide attempt cosmetic surgery, dental care expenses, pre-existing diseases, etc.

Other factors to consider

Besides these, there are other important factors you must be aware of while selecting your insurance policy.

  • Before and after hospitalisation, you may need to undergo several tests or follow up visits. So, your health insurance plan should cover pre-and post-hospitalization expenses.
  • Go for a health insurance plan that has an ambulance cover as well. The ambulance charges vary according to location and can be heavy on your pocket.
  • Select a health insurance plan that offers a higher number of network hospitals to avail cashless services at the time of emergencies.
  • Periodical medical check-ups are inevitable in the current busy lifestyle. So, purchase a plan that offers a complimentary medical check-up for all the insured people of your family.

Types of Health Insurance Plans

Bajaj Finance Limited gives a great deal of credence in offering health insurance policies that are worth the coverage provided and premium paid. There are various types of health insurance plans available in India, and the most popular ones are:

  • Individual Health Insurance Plan
  • Family Floater Health Insurance Plan
  • Senior Citizen Health Insurance Plan
  • Group Health Insurance Plan
  • Critical Illness Insurance Plan
  • Top-up Health Insurance Policy
  • Super Top-up Health Insurance Policy
  • Personal Accident Insurance

Having a health insurance plan is wise, as it helps you meet the medical expenses, especially in emergencies, without impacting your savings. Secure your health with Bajaj Finance, as we partner with some of the top insurance companies in India and offer health insurance plans keeping in mind your needs and interests. So, when you choose a plan with us, you can be sure, you’ve made the wisest decision.


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