In last 1 year most Insurance companies have increased their Health Insurance Premium or have asked customers to migrate to new products with higher premium.

The reason for driving Premium hike are Medical Inflation of around 14% in India fuelled by reduction in Pre Existing Diseases waiting period from 4 years to 3 years and reduction in Moratorium period as directed by the Insurance Regulatory.

Star Health Insurance is increasing premium by 15% in this year. Already Family Health Optima Plan premium is increased and another 2 of their top selling plans will be hiked in a months time as per their response in analysts call.

HDFC Ergo had withdrawn their top selling Plan my:health Suraksha and have communicated to existing customers to migrate to Optima Restore Policy at a higher rate whose renewals were due on or after 7th August'2024.

PSU Insurers had very high loss ratios of almost 105% in last year. They have to take steps to reduce it and the way they do it is by passing the hike to customers. This puts the elderly people at huge discomfort.

Customers who are burdened with Premium hike should also find Smart ways to reduce the Premium outflows:

1. Porting Out to better policies with existing waiting period benefits. One need sto assess the gap and smartly move to newer Plans with higher coverages & lower restrictions.
2. Take Long Term Policy of 2 or 3 years to get additional discount of 7.5% to 10%. The premium is locked as per current age for next 3 years. 
3. Look at a deductibles of around 25K per claim in order to reduce premium. 25K deductible won't pinch much but can lower the Annual Premium and keep it in budget. 
4. Buy Top-Up and Super Top-up plans with base cover. One can use these plans only after exhausting base health cover.

• One can even look at policies where Premium is fixed till a Claim is made. This unique feature is available in ReAssure 2.0 from Niva Bupa Health Insurance Comany Limited. In this under Lock the Clock feature you Pay as per entry age, until you claim. 

• One can also look at Plans that has accelerated increase in No Claim Bonus to tide over the Medical Inflation so that the hike doesn't pinch. Like plans that rewards with 100% No Claim Bonus every year for 5 years as in Care Supreme from Care Health Insurance Company Limited.  In this policy 10 Lacs Sum Assured grows to 70 Lacs at end of 5 years. 

Connect at [email protected] for porting your existing Health Insurance policy seamlessly.