Health Insurance – How do premiums change according to age?
Which is the right age to get Health Insurance?
It is a widely believed myth that Health Insurance is required only at old age and for critical illnesses. However, our changing lifestyles and increasing stress levels may bring health issues at an early age. Also, insurance at an early age may be your best investment due to low premium payments and better coverage.
Age- A major factor in Health Insurance Premium Calculation
It is rightly assumed that the younger we are, the healthier we would be. As age directly impacts the medical support required by a person, it is a key factor in the calculation of Health Insurance premiums.
Here are the underlying reasons for rising premium costs at old age:
Increased Medical Attention
With old age come the diseases & disabilities, leading to the increased requirement of medical attention, and therefore putting one in the high-risk bracket. So Thus, the premium for health insurance policies is directly proportional to age. As the age increases, the premium goes up too.
Increased OPD Visits and Medical Tests
As we grow older, our immunity dips, & diseases start attacking. We require frequent check-ups and health screenings. Regular cholesterol tests, Mammograms for women, Pap-smear, colon cancer screening, etc. raise the medical costs, leading to increasing premiums.
Increased Risk of Hospitalization
Old age ailments need more hospitalization care, adding directly to the costs of healthcare. This has a direct impact on our health insurance premium.
Increased Risks of Organ Failure & Surgeries
With old age, our organs become less functional and may require extra support. A pacemaker to help the heart, cataract surgery to aid the eyes, or joint replacements in limbs, add to the health costs. Thus, increasing the rates of premium.
Increased Prescription Medication
Right from the vitamin tablets to blood pressure pills, prescription drugs become a part of our routine during old-age. This, too. adds to the cost of Health Insurance leading to high premium rates.
With all these old-age health issues raising the amounts of premium, it is best to get Health Insurance at an early age.
The Right age for Health Insurance
The right age to buy health insurance would be as early as possible! Our mindset that healthy people do not need health insurance is simply wrong & outdated. We might not need it now, but it helps us secure physical, mental, and financial security for both our present and the future.
Here are some of the benefits attached to buying Health Insurance at an early age:
Low Premium Rates
Since the cost of premiums is directly proportional to age, younger people have to pay lower premiums for a higher risk cover.
No Medical Check-ups required
As our age increases, the insurance companies insist on getting medical check-ups for any pre-existing ailments. Also, for older people, sometimes pre-existing medical conditions are not covered or included only after a long Waiting Period.
Decreased Time Limits for Pre and Post Hospitalization Expenses.
Pre & post hospitalization expenses in any Health Insurance Policy are paid only when they are incurred during the prescribed time limit before or after hospitalization. This period, however, decreases as we grow older, thus often forcing us to pay these costs out of our own pockets.
Bonus Claims
When we are younger and aliment free, there are more chances of no claims on the policy. This gives us the benefit of collecting bonus claims and increasing our risk cover for the coming years.
Insurance Renewals
Insurance policies are renewed only to a particular age, depending on the company policy. It’s generally between the age of 70 to 80 years for most of the companies. Buying insurance at an early age helps you get easy renewals.
We, at Suraksha, understand your insurance needs and analyze the same to help you choose the most appropriate policies to cover your risks. With our expertise & experience, we help you negotiate with the insurance companies to ensure the most beneficial yet cost-effective solution to your risks. We also offer our expert assistance in prompt settlement of claims. Our offices are spread across the country to assist our clients to the best of our ability. Reach us insurance@suraksha.seahwk.com for all your insurance needs.
