How to Save your Money in Health Insurance Plans

How to Save your Money in Health Insurance Plans

Due to India’s rising healthcare costs, an health insurance policy is essential for everyone. However, a lot of people think that health insurance policy is an unnecessary expense. They cannot be more wrong as the benefits of health insurance outweigh the premium easily. From cashless hospitalization to tax benefits, there are so many advantages of having a health insurance policy. If you still think that it may not be budget-friendly, there are several ways to reduce health insurance costs. If you are looking for ways to reduce your health insurance expense, read below,

1.Employer-Provided Health Insurance

Most companies these days offer health insurance policy for their employees and their family. Typically, the employer pays the premium for this health insurance plan. The employee can benefit without spending a dime on premium. The health plan is a part of group health insurance opted by the employers. If you are too penny-pinched on spending on individual health insurance, you can go for this Employer-provided health insurance.

2.Purchase plan when you are younger

The premium for health insurance plan tends to increase with age – the older you get, the higher premium you will have to pay. Hence, it makes sense to purchase a health insurance plan when you are young. As the health conditions typically deteriorate with age, the insurance companies charge a higher premium for an older individual.

3.Purchase a Family Floater Plan

It would help if you considered purchasing a family floater plan instead of an individual plan. A family floater health plan covers your spouse, kids, and parents, along with you under a single cover. Which means you can cover every individual in the family under one premium. In the event of hospitalization, the sum assured can be availed by anyone. The premium for family floater plan is much lesser than the individual health insurance plan.

4.Cumulative Bonus

If you already have health insurance and have not yet raised a claim, you are entitled to a few benefits during the renewal of plan. Called as the No Claim Bonus, you can avail it in two ways.

  • Cumulative Bonus – It’s a bonus amount added to the sum assured for the same premium at the renewal time. For example, if you have a health insurance plan for 2 Lakhs and have not raised a claim, the company may offer you an additional bonus of Rs. 50000 at the time of renewal. 50000 bonus. Your new sum insured now is Rs. 2.5 Lakhs. You can avail this benefit at the same premium.
  • Reduction on Premium – The second option for every claim-free year is reducing the premium amount. For example, if you are paying a monthly premium of Rs. 1500 towards your health plan and have not raised a claim; you can avail this benefit and pay a reduced premium for the same sum insured.

The benefits mentioned above differs from company to company. People buying a health insurance policy online should thoroughly read each plan’s terms and conditions before purchasing the policy.

5.Top-up Cover or Rider

Suppose you already have an insurance policy and want a higher sum insured. In that case, you do not need to buy an individual health plan. You can opt for a top-up plan like critical illness plan or accident cover, which can come to your rescue during emergencies. 


A health insurance plan is a great investment option to safeguard your family against all kinds of medical emergencies. If you think spending on health insurance plan is unnecessary, kindly reconsider your options based on the above points. Remember, health should be your top priority. You should absolutely make no compromises on that. Find the most affordable health insurance and mediclaim plans on sites like FinCover and stay protected always.

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