Business News Desk – Misselling has been a big problem in the insurance industry for a long time. Misselling means selling such a policy to the customer in which the customer gets less benefit and the agent gets more benefit. Due to this, the customer’s money is spent on the premium of such a policy which is not beneficial for him. This problem is not only in the case of life insurance policy but also in the case of health insurance policy. What is the point of buying a health policy if it does not meet the customer’s objectives when needed. Therefore, there is a need to be more careful while buying a health policy. This is also important because health policies are very expensive. Moneycontrol is telling you some tips which you can use in buying a health policy.
1. Cheap policy is not necessarily good
Many times a customer buys a health policy whose premium is low. Low premium health policies have several limitations. This does not cover your entire expenses during treatment. During claim settlement you have to spend a lot of money from your pocket. Therefore, do not make the premium amount the basis for choosing a health policy. This may cause loss instead of benefit.
2. Don’t hide health conditions
If your blood sugar level is high or you suffer from high cholesterol, do not hide it. It is important to be transparent about your health condition while purchasing a policy. Many times people think that there will be no harm in not telling about minor health problems. But, the company may reject your claim on the basis of minor health problem. Often companies look for such deficiencies so that they can get a chance to reject the claim.
3. Track record of claim settlement
Before buying a health policy, be sure to check the claim settlement record of the insurance company. Also check the rejection rate. It is beneficial to buy a health policy from a company which has a higher claim paid ratio. You will get information about insurance claim paid ratio on the company’s website.
4. Understand the policy clauses properly
If you are buying a health policy through an agent, you do not need to trust his words blindly. You need to understand the clauses associated with the policy itself. The reason for this is that after selling the policy, you will not meet the agent, whereas the policy will always be with you. If you do not understand the meaning of any clause, you can take help from an expert. With this you will not have to face any problems later.
