Health insurance provides its policyholder with an array of benefits. However, in order to optimise the return on investment of your insurance, it is important to renew your policy on time, every year.
Most insurance providers give their customers a wide choice of covers. In most cases, premiums for each have to be paid once a year. But what happens when you’ve gone past the premium due date and why should you not let this happen?
I'm Arvi, your friendly personal insurance assistant.
Know the top 4 reasons as to why you should NEVER EVER let your policy lapse!
1. Waiting periods start all over again!
Insurance policy, like a bottle of wine, gets better with time.
In the first 1-2 years, insurance policies do not cover a specific type of health complications. The argument is that a customer can misuse a policy to pay for some planned surgeries. As you grow older with your policy, that risk comes down to insurance companies and your policy covers every possible health complication.When your policy lapses, your biggest disadvantage is that you will have to start all over again.
2. Medical check-up, again...
Most insurance providers have a grace period after the due date of the last premium is gone past.
Some insurance providers may require you to undergo a thorough medical check-up to renew the policy again, especially if it has lapsed. If you don’t allow the policy to lapse, you may not need to undergo any medical tests for subsequent renewals, as long as it’s done within the valid time frame.
3. Premium may rise
If the policy lapses, take it for granted that getting a new cover might mean a difference in premium.
This may happen because your calculated due premium will be as per the price-chart at the time you took the policy. And because health care costs, in general, are increasing, you can expect that premiums for a new policy would be higher than those for an existing policy. So, stick to the old one and let it not lapse!
4. Health emergencies are unplanned
People care very little about insurance until something happens, and then it’s the most important thing in their life.
Have you ever felt that you end up getting caught by a traffic policeman only on days when you forget your license at home? Well, something similar applies even to your health insurance. All those years of hard work when you diligently renewed your policy will go to waste if you fail to renew your policy on time.Remember, Health comes first.Set a reminder so that you don’t miss out on the renewal date. Timely payment will take you a long way in securing your and your family’s health.