Health insurance
The premium of the Health Insurance Policy has increased rapidly. Due to this, many people have canceled the health insurance policy in recent times. At the same time, many people have ported their policy in another company. Meanwhile, do you know that companies calculate the premium of the health insurance policy on the basis of the city. If not, we are telling you. If you are living in the metro city, then you have to pay more premiums. At the same time, living in small towns will have to pay less premium. Why let’s know this?
Premium not fixed only on age basis
The insurance premium is not fixed on your age, medical history or insurance amount. It also depends on the thing you may not have considered. Insurance expert Nikhil Jha has written on X that on the basis of where you live, health insurance is fixed. The city has a huge role in fixing the premium. In India, insurers divide locations into risk -based sectors, and your area directly affects the price you pay for health policy – even if coverage remains the same.
More premium in metro cities
According to Jha, “A person living in Delhi may have to pay more premiums than a person living in a small town. Insurance companies classify cities into three zones based on health costs, claims and medical expenses.”
Zone A (Most premium): Metro cities like Delhi, Mumbai, Kolkata, Chennai Zone B: Tier-1 and Tier-2 cities Zone C (lowest premium): Tier-3 city and rural areas
Why does the difference matter?
Healthcare is more expensive in the metro, so the claim amount is generally high. More claims are made due to population density and lifestyle diseases in urban areas. Underwriting becomes expensive for insurers due to high risk in cities.
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