Have you bought a suitable medical plan?

Mr. A has a stable job, has his finances sorted and every life goal planned well in advance. But when his colleague met with an accident on his way to work, shelling out a fortune on his medical expenses, Mr. A realized that he has skipped on a very important front - a suitable medical plan.

Having seen how his colleague suffered due to a medical insurance policy that had a lower sum insured and a lot of exclusions, he also knew that it was a decision he’ll have to take after proper research.

The situation that Mr. A finds himself in is quite common, which is why it is integral that you pay heed to certain aspects while purchasing a medical insurance plan. Here are three essential aspects to consider in the process: -    

Instead of the most affordable plan, search for the right one.

For starters, there is a cost. While low-cost medical insurance plans may sound good at first, they can really pinch the pocket during claims. Many such plans have a plethora of exclusions, and terms and conditions which come into play at the time of making a claim.

When the actual bills stack up and the company refuses your claim by pointing to the fine print in their literature, it is when you come to realize that the plan you took was neither affordable nor suitable.

Analyze the coverage provided

The premium of a medical insurance plan goes hand in hand with the coverage it provides. Therefore, take out the time to read the fine print in the terms and conditions of your medical insurance plan. See what is covered and what is excluded. Also, look for finer technicalities, like if just the disease is covered but not the tests and or diagnostic measures associated with it. Keep in mind that tests and diagnostics take quite a beating when it comes to cost.

Factor in the frills attached with the plans

After coverage comes the top-up plan. Top-up plans involve the exhaustion of the base policy before the top-up comes into force. Plus if your medical plan is one that has coverage of four members of the family, say, father, mother and two kids, it can lead to very different calculations when the original expenses come knocking.

For instance, some policies might cover dependent children up to the age of 18 years while others may extend up to 25 years of age. Also, after a dependent child crosses the pre-specified age cap, the policy ceases to cover him/her anymore.

Therefore, make sure you discuss this and see in writing what the medical policy really offers before you opt for a top-up medical plan on your existing medical insurance plan.

The lesson to learn

The aspects discussed above are the basic ones that you should look at before buying a medical insurance plan. Of course, there’s a lot more that comes into the picture, but that is just the bare minimum. So make sure you don’t skimp on any of these when the time comes for you to choose a medical plan.