5 Important factors to consider when choosing a health insurance policy

Business5 Important factors to consider when choosing a health insurance policy


Health insurance is a great investment and a significant part of your financial planning. Health insurance provides the required financial backup to tackle medical emergencies. So, you can focus on the treatment and recovery without worrying about funds.

Today, most insurers offer health insurance policies online. You only need to visit their official website to check the details and pick one. However, choosing the right health insurance policy may be challenging as there are varied plans available with a host of benefits.

Here are 5 tips to choose the right health insurance plan that is best suited to your needs.

Coverage and benefits

The first and foremost thing you need to consider before purchasing a health insurance policy is its coverage and benefits. Ensure that the policy covers all your medical needs, including hospitalisation, diagnostic tests, surgeries, and other medical expenses. Some insurance policies may also cover pre-existing conditions. Check if the coverage offered is adequate and meets your medical needs.

Also, look for add-on benefits. Some policies provide additional benefits like wellness programs, maternity benefits, and critical illness coverage. Consider these benefits and choose a policy that offers the best value for your money.

Network hospitals

One of the essential factors to consider when purchasing a health insurance policy is the number of network hospitals. Insurers tie up with several hospitals to enable policyholders to access quality healthcare services. You can avail of cashless treatment at these hospitals.

Choose a policy with a wide network of hospitals in your city or town. This will ensure that you can get quality medical care conveniently without worrying about the cost. Know the nearest network hospital to you, so you can go to the hospital immediately during medical emergencies.


Compare the premiums of different policies before purchasing one. Choose a policy that offers the best coverage and benefits at an affordable price. However, do not compromise on the coverage and benefits for a lower premium.

Exclusions and limitations

Most health insurance policies have limitations and exclusions in terms of coverage. You will find these in the terms and conditions list. Read through the entire list to understand what, when, and how you can avail the benefits. This will help you at the time of claiming the benefits and spare you the hassle.

Claim settlement ratio

The claim settlement ratio, valued in percentage, reflects the insurance company’s efficacy to resolve the claims made every year. It indicates the number of claims settled against the total number of claims received in a year. The higher the claim settlement ratio, the higher the credibility. Choose a health insurer that has a good claim settlement ratio, so you have an easy claim settlement process.

Before purchasing a policy, make sure you consider all the above factors. Compare different policies, check the premium, read the policy document carefully, and choose insurer with a high claim settlement ratio.

Bajaj Finance Insurance Mall offers a plethora of health insurance policies from leading insurers in India. Bajaj Finance also offers a 100% digital buy process, saving you from lengthy paperwork. You can compare different policies on this platform and choose the one that fits your requirement.

Disclaimer : T&C Apply*. Bajaj Finance Limited (‘BFL’) is a registered corporate agent of third party insurance products of partner insurers under the IRDAI composite CA registration number CA0101. Please note that, BFL does not underwrite the risk or act as an insurer. Your purchase of an insurance product is purely on a voluntary basis after your exercise of an independent due diligence on the suitability, viability of any insurance product. Any decision to purchase insurance product is solely at your own risk and responsibility and BFL shall not be liable for any loss or damage that any person may suffer, whether directly or indirectly. Please refer insurer’s website for Policy Wordings. For more details on risk factors, terms and conditions and exclusions please read the product sales brochure carefully before concluding a sale.

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