A health insurance plan acts as a saviour against financial costs in case of a medical emergency. The plan finds relevance in today’s times in lieu of increasing medical costs, higher life expectancy, and higher incidence of diseases due to lifestyle choices. Most individuals are aware of the importance of buying a plan, but are often confused by the premiums. They want to know the estimated premium amount before they finalise the coverage amount and the plan. Since different health insurance plans offer different premiums, calculating the premium for each mediclaim plan can be a difficult task.
Are you are wondering if it is possible to know the premium beforehand of all health plans?
Yes, it is. Online platforms provide health insurance premium calculators which can be used for calculating the expected premium of different plans. Fill in the details, click on the calculate button and the calculator would do the rest.
Choosing the best health premium calculator online
To ensure you get the correct approximation, it is of utmost importance to choose the best health insurance premium calculator online. Reputed online aggregators offer reliable calculators. Some offer the scope of customization keeping in mind plan differences on offer.
How to use a health insurance or mediclaim premium calculator
To use the calculator, you should follow the below-mentioned steps –
- Enter the correct information in the required fields–some important details required for calculating the premium are –
- The members covered – is the plan for an individual or family members – specify the number of people to be covered by the plan
- The age of the members –for both individual and family members, the age of each member to be insured is to be entered correctly
- The sum insured – enter the sum insured amount of the health insurance plan.
- Location – the city and area of your residence is required for calculating the premium
- Pre-existing illnesses – mention all pre-existing illnesses for each family member in the health insurance premium calculator.
- Provide your contact details – some calculators ask for personal details – these details do not affect the premium amount.
Click on CTA – or the button that usually says ‘calculate’ once all the mandatory fields are filled. The calculator will show an approximate amount applicable as premium for the chosen health insurance plan.
Calculation of health insurance or mediclaim premium
The calculator requires the afore-mentioned details because the health insurance or mediclaim premium depends on a lot of factors. The details, therefore, dictate the amount of premium to be charged.
Let’s look at some factors influencing the premium calculation –
- Age –determines the health of the individual. It, therefore, has a direct bearing on the health insurance premium amount. Premiums are higher for higher aged-individuals and vice versa
- Sum insured – is the amount of maximum liability undertaken by the insurance company. In other words, this is the highest amount the insurer will pay for medical expenses. The higher the sum insured, the higher will be the premium rate.
- Members covered – affect the premium to be charged. With the addition of each member, the premium rate will also increase.
- Health history – including existing and previous health ailments has a direct impact on the premium rate as it is considered a higher health risk.
- Tenure – varies from 1-3 years, though earlier health insurance plans were available for 1 year only. Insurance companies offer discounts for longer tenures, leading to lowered premium rates. A longer
- Coverage features – both inbuilt and optional help to determine the premium rate. The more the cover offered by a plan, the higher is the premium payable.
Why is a health insurance or mediclaim premium calculator useful?
The various benefits of health insurance premium calculator are –
- The calculator helps in calculating the expected premium of a mediclaim policy beforehand. It gives an idea of the costs involved on buying health insurance.
- The health insurance premium calculator offers flexibility – change data entered to calculate premiums for different options.
- Know the additional cost of optional benefits or availing discounts.
- The health insurance premium calculator offers filters to shortlist plans which suit preference instead of searching through multiple premium quotes.
- The calculator is simple, easy to use and quick in providing results.