Skip to main content

Reduce Your Health Cover Premium



Buying the highest health cover available or making claims for every medical need are not always the best financial decisions

 

The only way to protect yourself from a financial disaster after a medical emergency is adequate medical insurance. Here are a few tips to cut back on the premium.

1. Buy a health plan from your bank

Public sector banks have co-branded health insurance products with usually public sector general insurers. These are exclusive and cheaper plans for their customers. For instance, while a `5 lakh Parivar mediclaim policy for a family of four from National Insurance, costs `17,972 annually, a similar family-floater Baroda Health Policy, a tie-up with National Insurance, will cost only `7,079 yearly. These plans are ideal for senior citizens, though one major shortcoming is that the maximum age of renewal is usually 80 years. Also, the maximum coverage you can get is `5 lakh. Since these are tie-up products, there is a risk of discontinuation of the plan, in which case you have the option to port the policy .

2. Buy a smaller cover and top it up

Don't buy the highest cover size available. The cheaper solution is to opt for a basic indemnity plan of say around `5 lakh and then add a super top-up health plan to it. So, while a `10 lakh indemnity cover for a 30-year old costs around `9,000 to `12,000 annually, a combination of a `5 lakh indemnity cover plus a `5 lakh super top-up costs just `6,500-7,000. Note that the deductible amount should never be higher than sum insured and you buy a `super' top-up not a regular one.

3. Separate cover for older members

Adding your parents to your family floater is a bad idea. Consider this: A `5 lakh family floater from Max Bupa which covers a nuclear family costs around `13,000. If you add your senior-citizen parents to this, the cost shoots up to `46,000. A difference of `33,000.A separate cover for parents costs `30,000. Not only there is a difference of `3,000 in the premium, a separate one for parents means the total cover size also increases to `10 lakh.

4. Cash for smaller needs

Comprehensive health plans will cover you head-to-toe but the costs are also exponentially high. For instance, a `5 lakh premium health plan with OPD benefits and other exclusive benefits will cost around `20,000, while a standard plan is available for `5,000.Plus you can always buy a health card to avail discounts. Since these plans offer preventive health check-ups as part of the product, the members are eligible for tax benefit of up to `5,000 under Section 80D.

5. Buy for a longer tenure, buy online

Enquire and ask for a discount before you pay the premium. Some offer discounts for buying online, others for sharing your purchase on your social networking site and then there are loyalty reward points that can be redeemed as discount on premium. The public sector general insurers offer discount to customers who buy online.

6. Mind the price escalation clause

Health insurance plans are annual contracts and, if their health insurance product portfolio is performing badly, the insurer has the right to appeal to the regulator, IRDA, for a revision of premium. Also, check how steep the price changes are as you cross an age slab.


 
Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1.ICICI Prudential Tax Plan

2.Reliance Tax Saver (ELSS) Fund

3.HDFC TaxSaver

4.DSP BlackRock Tax Saver Fund

5.Religare Tax Plan

6.Franklin India TaxShield

7.Canara Robeco Equity Tax Saver

8.IDFC Tax Advantage (ELSS) Fund

9.Axis Tax Saver Fund

10.BNP Paribas Long Term Equity Fund

You can invest Rs 1,50,000 and Save Tax under Section 80C by investing in Mutual Funds

Invest in Tax Saver Mutual Funds Online -

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

---------------------------------------------

Leave your comment with mail ID and we will answer them

OR

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

OR

Leave a missed Call on 94 8300 8300

---------------------------------------------

Invest Mutual Funds Online

Invest Any Mutual Fund Online

Download Mutual Fund Application Forms from all AMCs

Download Mutual Any Fund Application Forms

Popular posts from this blog

Total Returns Index brings out real Equity Funds Performers

From February, equity mutual funds have to change their benchmarks to account for dividend payments. Until now, funds used price-based benchmarks alone. TRI or total return indices assume that dividend payouts are reinvested back into the index. What this does is lift the overall index returns, because dividends get compounded. For example, the Sensex TRI index will consider dividend payouts of its constituent companies while the Nifty50 TRI index will consider dividends of its constituents. Using TRI indices as benchmarks comes on the argument that an equity funds earn dividends on the stocks in its portfolio, which they use to buy more stocks. Therefore, using an index that also considers dividend reinvestment would be a more appropriate benchmark. Shrinking outperformance With a stiffer benchmark, it is obvious that the margin by which an equity fund outperforms the benchmark would shrink. Rolling one-year returns from 2013 onwards, the average margin by which largecap funds out...
Read more

Stock Review: Havells

HAVELLS India's stock performance has been muted in the past three months, in line with the weak broader market. But, given the turnaround in its overseas subsidiary and the launch of new products in its consumer durable business, the company's stock may undergo a re-rating.    Havells is India's leading consumer electrical goods company, with consolidated sales of . 5,527 crore in the past four quarters. Its wholly-owned subsidiary Sylvania, which makes lighting and fixtures, has established brands in European, Latin American and Asian markets. Sylvania repre sented nearly half of the company's consolidated revenues in the first half of FY11.    Sylvania's poor financials hit Havells' consolidated performance in FY10. But, this has changed in the cur rent fiscal. Havells has reduced fixed costs of Sylvania by exiting from unprofitable businesses and outsourcing manufacturing to low-cost locations such as India and China. In the September 2010 quarter, Sylv...
Read more

How to generate a UAN Online

Best SIP Funds Online   In order to make Employees' Provident Fund (EPF) accounts portable, the Employees' Provident Fund Organisation (EPFO) had launched the facility of Universal Account Number (UAN ) in 2014. Having a UAN is now mandatory if you have an EPF account and are contributing to it. So far, you got this number from your employer and every time you changed jobs, you had to furnish this number to the new employer.  However, in order to make it easier for you to get a UAN , and without your employer's intervention, the EPFO now allows you to go online and generate a UAN on your own. This facility can be used by freshers, or new employees, who are joining the workforce as well as by employees who have older EPF accounts but do not have a UAN as yet. As a new employee, you can simply generate a UAN and provide the number to your employer at the time of joining, when you need to fill up forms for your EPF contribution. As per a circula...
Read more

Health for Wealth - How to buy Health Insurance ?

Tax Saving Mutual Funds Online Current open Infra Bond Application form   HEALTH insurance is a relatively new phenomenon in India. Hence, it is not on the top of the mind for most people to make a conscious commitment towards health insurance. However, it is imperative for each one of us to plan for better health for our families and ourselves. There's no better way than to start with making health your top priority this year. So, your health insurance resolution charter would look something like: ■ Invest in health for wealth: Timely investment in health insurance can help build a security net and hedge sudden dilution of another financial asset class in the event of a health emergency, making it imperative to opt for a comprehensive health insurance plan. ■ Buy a comprehensive health cover that fu lfills your health needs for life: Buy a personal health insurance cover even if you have an employee cover because 'employer provided' health insuranc...
Read more

Am you Required to E-file Tax Return?

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300   Am I Required to 'E-file' My Return? Yes, under the law you are required to e-file your return if your income for the year is Rs. 500,000 or more. Even if you are not required to e-file your return, it is advisable to do so for the following benefits: i) E-filing is environment friendly. ii) E-filing ensures certain validations before the return is filed. Therefore, e-returns are more accurate than the paper returns. iii) E-returns are processed faster than the paper returns. iv) E-filing can be done from the comfort of home/office and you do not have to stand in queue to e-file. v) E-returns can be accessed anytime from the tax department's e-filing portal. For further information contact Prajna Capit...
Read more
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now