5 Variables That Impact Your Health Insurance Quote

There has been a steep rise in the cost of healthcare facilities. Developments in medical technology is the reason owing to this increase in the price of treatments. At such times health insurance is your safest bet.

Base health insurance plans can be topped with additional features using the add-ons covers. Sometimes, it can be expensive too. You need to be aware of these factors that increase the premium for your policy. In this article, we explain to you five such variables that have a direct impact on your health insurance quotes.

#1 Your age

Age is an absolute no brainer that impacts your premium amount. In fact, it is one of the significant factors that decide the premium of your policy. As your age increases, you are more prone to illness and diseases. Thus, insurance companies increase the premiums for older individuals. The impact of age is primarily noticed in family health insurance plans. The insurance companies consider the age of the eldest beneficiary of the policy in computing the premium amount.

#2 Whether you smoke or not

The most common question about smoking is whether it impacts the premium amount. The simple answer is – yes. Since smoking is injurious to your health, insurance companies have a higher probability that a claim will be raised. Considering this factor, the premiums are compensated for assuming the increased risk by the insurer.

#3 Any pre-existing diseases

Any pre-existing illness does impact the premium of your policy. For this reason, some insurance companies require a mandatory medical examination whereas in a few cases, it is required if you are above 40 years. Your declaration of pre-existing illness is sometimes sufficient too. The insurance company will increase or decrease the premium amount depending on the illness and its severity. Moreover, along with an impact on premiums, some policies have waiting periods for pre-existing diseases. The insurance company provides coverage for these illnesses after a specified duration. You must note that waiting periods for pre-existing ailments differ according to the type of policy & the specified terms & conditions, whether a group/individual policy or critical illness insurance cover.

#4 The sum insured under your policy

Depending on the sum insured of your policy, your premium differs. Sum insured is the maximum amount you can claim in case of a medical contingency. It is essential to note that as your sum insured increases, so will your premiums increase. You need to strike a balance between how much you can pay for premiums and the amount of sum insured that you should opt for. When selecting a family floater plan, it is advisable to opt for a higher sum assured as the entire amount is spread for all the beneficiaries. This way, in case of multiple hospitalizations during a policy year, the sum insured won’t be exhausted.

#5 Geographic location

Your geographic location does play an essential role in determining the premium. Since the cost of availing treatments differ between metro and non-metro cities, it is one of the key factors in deciding your quote. Hence, you will find the same policy costs a bit lower in non-metro cities, whereas it is expensive in the metro regions.

These are some of the key factors that impact your health insurance premium amount. While some factors are beyond your control, some others are controllable. Make sure you select the right policy after comparing the myriad options at hand.


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