Health Insurance Premium Calculator

A health insurance premium calculator is a free tool for calculating premiums for various health insurance plans, as well as comparing and examine different medical insurance policies offered by popular insurance companies online. You can compare health insurance plans on the basis of several factors that include age, gender, profession, number of members covered under a policy, etc. One can also customize their health insurance policies and notice a change in the health insurance premium. This way, using a health insurance premium calculator helps in making a better buying decision.

A health insurance premium is a pre-determined sum of money that a policyholder is required to pay to their respective health insurance company in order to avail coverage and benefits offered under a health insurance plan. To use the health insurance premium calculator and have it calculate the amount of premium that must be paid, a policyholder must provide the necessary information. The information includes sum insured, age, pre-existing illness (if any), number of members that need to be covered under the plan, etc. This information provided by the policyholder acts as a parameter depending upon which the amount of premium would get calculated. If there is an unexpected healthcare emergency or a diagnosis of a specific illness, the respective insurance company will pay all of the benefits and coverage listed in the insurance plan, according to the terms and conditions specified in your health plan.

How to Calculate Health Insurance Premium Online?

With a health insurance premium calculator, you can calculate the health insurance premium of your policy by entering a few personal details like medical history, family members to be covered, etc. You will be able to get an estimate of the health insurance premium you will be expected to pay for your health insurance policy based on this information. InsuranceDekho has this tool that you can use to calculate premiums and compare different health insurance policies online, without paying anything for it.

How to Use Health Insurance Premium Calculator Online?

An easily accessible and user-friendly online tool, the health insurance premium calculator enables individuals to compute their insurance costs accurately. This aids in the selection of a budget-friendly health insurance plan, allowing for a comprehensive comparison of payable premiums across various insurance providers. Such informed utilisation of the calculator ensures wise decision-making. This piece offers an in-depth exploration of the significance of the health insurance premium calculator, its advantages, operational guidelines, and strategies for minimising premium expenditure. Keep reading for valuable insights!

Why do you need a Health Insurance Calculator?

Rapid technological progress has led to a surge in medical costs, underlining the importance of acquiring health insurance. However, prior to making a decision, it's essential to evaluate the insurance premium to ensure it aligns with your budget, preventing potential lapses in payment. A health insurance calculator offers the advantage of pre-determining the precise premium amount for a specific policy, facilitating effective financial planning.

Information Required for Calculation of Health Insurance Premium

The insurance company requires specific information to determine the medical insurance premium, including:

• Historical medical documents
• Age and gender of the prospective insured person
• Plan category
• Supplementary features
• Policy duration
• Insured person's lifestyle
• Benefit of no previous claims

Features And Benefits of Health Insurance Premium Calculator

Health insurance premium calculator offers the following advantages to the users:

1. Makes Financial Planning Easy

The health insurance premium calculator provides an accurate estimate of the premium for a health insurance policy you wish to purchase. This allows you to effectively plan your finances for the future.

2. Reduces Risk of Defaulting Health Insurance Premium

Keeping yourself informed beforehand about the health insurance premium eliminates the risk of defaulting health insurance premiums as you opt for a policy only that you can afford.

3. Buy Health Insurance Policy As Per Your Requirements

A health insurance premium calculator can help you in choosing a health insurance policy after adjusting it to your particular needs in order to make it affordable while providing adequate coverage.

4. Helps You Choose Add-On Covers Easily

As you enter your personal details, the health insurance premium calculator displays the most suitable health insurance quotes. Along with quotes, it also tells you the premium for relevant add-on cover(s) that you can opt for along with your health insurance plan.

5. Helps You Make an Informed Decision

With a health insurance premium calculator, you can compare, analyze, choose, and be informed of the various benefits of several health insurance policies. This helps you make the best buying decision by keeping you informed about it all.

6. Flexibility

Premium calculators for health insurance are quite flexible. They allow you to adjust several variables in order to find the ideal combination of total insured and premium that best meets your needs.

7. Eliminate the Requirement of Insurance Advisor

With a health insurance premium calculator, you can eliminate the role of an insurance advisor. You can simply search for coverage benefits under different health insurance plans at your convenience. There is no pressure from agents or anyone else to add certain coverage benefits. Because you are the single decision-maker, you can set your own premium by increasing or decreasing coverage benefits.

8. Filter And Shortlist Premium Quotes

Some health insurance companies also allow you to filter and then shortlist the premium quotes as per your requirement. It also gives you suggestions to buy certain health insurance plans, as per your preferences entered in the previous steps.

How is Health Insurance Premium Determined?

Take a look at the factors that increase or decrease your health insurance premium:

1. Age

With growing age, your health insurance premium is bound to climb as old people are more prone to illnesses and use more health care services than young ones. So, it is better to make the timely purchase of a health insurance plan to avoid higher premiums.

2. Gender

Health insurance premiums differ for men and women. This is because as per the expert, women are more likely to visit doctors, and are therefore demanded a higher premium.

4. Medical History

If you have a family history from certain diseases, such as cancer, heart disease, or high blood pressure, you are more likely to need medical treatment for them in the future. As a result, you will have to pay a higher premium.

5. Body Mass Index (BMI)

People with higher BMI are more prone to heart, and joint-related diseases, and even diabetes. Which is why they are more likely to avail healthcare services in the future.

6. Smoker/Non-Smoker

Regular smokers are required to pay more health insurance premiums as smoking is significantly risky for health. Regular smokers are more vulnerable to issues like Stroke, Asthma, Cancer, Heart disease, hypertension etc.

7. Pre-existing Health Conditions

Individuals with pre-existing diseases must pay higher health insurance premiums because they require more coverage than others.

8. Geographical Location

Your residency may have an effect on the amount of premium you must pay. Some zip codes demand a higher premium than others.

9. Profession

If you work in a hazardous environment or have a stressful job, then you are more likely to suffer from medical issues. Which means you will have to pay a higher premium.

How Do Health Insurance Premium Calculators Work?

Mediclaim premiums differ among policyholders. Using a Mediclaim premium calculator, you can ascertain the premiums for your policy, whether new or renewed, by inputting relevant personal data.

The required information includes the following, which can vary across insurers:

• Insured person's name
• Contact information
• Date of birth
• Gender
• Count of individuals to be covered by the policy
• Current city of residence
• Supplementary options
• Policy duration
• Coverage sum assured

What is the Health Insurance Premium Formula?

Health insurance providers might utilise distinct methodologies for premium calculations, yet the components incorporated in the calculation process remain consistent. Several key factors influencing the premium computation include:

• Age
• Insured Sum (coverage extent)
• Medical Background (inclusive of pre-existing conditions)
• Family Inclusion
• Geographic Locale
• Deductibles and Co-payment
• Supplementary Riders

To gain an estimated policy cost, the online premium calculator proves invaluable. It allows you to gauge the approximate amount you need to invest in acquiring the policy.

Additional Factors Affecting Health Insurance Premium

Since insurance policies are customised for each person, the factors influencing health insurance premiums remain consistent. Several elements impact health insurance premiums, including:

1. Age: Age is the predominant determinant in health insurance premiums. Younger policyholders typically pay lower premiums than older ones. Young individuals in their 20s and 30s often enjoy better health, experiencing fewer illnesses and faster recoveries.
2. Medical Background: Some medical conditions tend to be hereditary, increasing the likelihood of their occurrence in an individual. Premiums may be higher for such individuals due to the increased chances of filing claims.
3. Pre-existing Conditions: Individuals with pre-existing conditions like diabetes or heart disease might face elevated premiums. Some insurers might exclude coverage for pre-existing conditions, while others could impose waiting periods.
4. Coverage Amount: The extent of coverage directly influences premiums – higher coverage amounts lead to higher premiums.
5. Policy Duration: Health insurance policies are usually renewed annually. Opting for longer policy durations can result in lower premiums.

How to Reduce Health Insurance Premium?

Health insurance premiums may sometimes be an obstacle for people having higher health insurance coverage. So, for those who find it difficult to pay high health insurance premiums, here are a few tips:

1. Purchase Health Insurance At an Early Age: One of the proven ways to save on health insurance premiums is to buy the insurance policy at an early age. This is because as you age, you are more vulnerable to illnesses and are hence required to pay a higher premium then. So, you must choose to timely purchase health insurance coverage.

2. Go For a Policy With Lower Sum Insured: Health insurance premiums are lower for health insurance plans with a lower sum insured. To save money on premiums, get a policy with a lower sum insured.

3. Opt For Copay and Deductibles: After the insured is required to pay a fixed portion of their treatment costs, the insurance company covers the balance when the claim is resolved. The deductible, on the other hand, is the fixed payment you must make for hospital bills before your insurance policy kicks in. So, another way to make your health insurance policy more affordable is to opt for cost-sharing health insurance plans that offer copay and deductible options.

4. Balance Your Health Insurance Plans: An individual can have more than one health insurance policy depending on their requirements. They may have one provided by their employers, an individual health insurance policy, as well as a family floater health insurance policy. In such situations, people must use an individual health insurance policy, regardless of the fact that they may be eligible for benefits under other policies. They will be able to better manage health insurance premiums in this way.

5. Opt for Top-Up Plans: To avail of high coverage at a low premiums, choosing top-up plans is the best option. The plan comes to your rescue when your medical insurance claim crosses the threshold limit.

6. Opt for Family Floater Policies: The premium for an individual health insurance policy is based on the sum insured and age of every member added under the policy. Whereas the premium for family floater health insurance plans is based on the eldest family member covered under the policy. Family floater policies are more cost-effective than individual health insurance plans because their premiums can be up to 20% less.

7. Compare Health Insurance Quotes: The premium rates for health insurance differ from one insurance company to the other. Furthermore, the premiums charged for various health insurance policies vary.Doing a thorough comparison of different insurance plans offered by different insurance companies would help you in choosing the right health plan that would meet your budget and healthcare requirements at an affordable premium cost.

8. Choose a Multi-Year Health Insurance Plan: The amount of premium paid towards yearly health insurance plan is higher as compared to a multi-year plan that is purchased for 2 or 3 years. The premium for the entire tenure is paid once, and the insurance provider offers various discounts on health plans purchased for a period of more than one year.

Health Insurance-Related Tax Benefits

Within India, health insurance plans provide tax advantages under Section 80D of the Income Tax Act in the previous tax regime. Taxpayers are eligible for deductions of up to Rs. 25,000 for their own, spouse's, or dependent children's policy, and an additional deduction of up to Rs. 25,000 for parents' policies. Senior citizens can avail higher deductions of up to Rs. 50,000. Thus, health insurance not only assures financial protection but also alleviates your tax burden.

Tax Benefits of Purchasing Health Insurance

Health insurance plans offer tax advantages in accordance with Section 80D of the Income Tax Act, 1961. Within this section, policyholders can receive tax relief for the premiums they pay towards their preferred health insurance policy.

Individuals aged below 60 years can assert a maximum tax exemption of Rs.25,000 per fiscal year. For senior citizens, the tax exemption limit is extended to Rs.30,000 under this Income Tax clause.

Primary breadwinners of families can collectively enjoy a cumulative tax exemption of Rs.55,000 each fiscal year, covering their spouse, children, and parents. Furthermore, an additional tax exemption of Rs.5,000 is available for annual health check-ups.

What is the Importance of Using Health Insurance Premium Calculator?

There are many health insurance companies that offer a variety of health insurance products, and selecting the right insurance plan among the many options available can be difficult. Before selecting a health insurance plan, it is essential to execute thorough research, comparison, and analysis of various terms and conditions. However, the efforts put in selecting the right insurance plan are always worth it when seen through a bigger picture. Highlighted below are a few reasons how a health insurance premium calculator makes selecting an appropriate health insurance plan easier for you:

• With InsuranceDekho’s health insurance premium calculator, you can view different health insurance plans according to your budget and requirements in a single place, so that you can easily do a comparison between them. The decision-making process, thus, becomes a lot simpler and hassle-free.
  
• With the help of InsuranceDekho’s health insurance premium calculator, you can get an accurate idea regarding the amount of premium payable, according to your financial objective and healthcare requirements, prior to taking any final decision about the policy that you wish to go for.
  
• InsuranceDekho’s health insurance premium calculator helps you in conducting an extensive research all on your own without even before approaching different insurance companies and insurance agents. Therefore, in this way, the procedure of selecting a health insurance plan becomes seamless and it also helps you in making a wise and well-informed decision.
  
• InsuranceDekho’s Health insurance premium calculator along with the health insurance plans also displays the appropriate riders or add-ons available to meet your unique requirements. It not just gives the users the flexibility to go through the riders at a single glance but also the ease of choosing them without requiring to individually visit the website of various insurance providers.
  

Tax Benefits in Health Insurance

When talking about health insurance premiums, it is important to also understand how you can avail tax benefits on the premium paid, in different situations. In case the policyholder and parents have aged less than 60 years and the premium paid for self, family and children are Rs. 25,000 and for parents is Rs. 25,000, then you can avail a deduction of Rs. 50,000. If the policyholder and family members are under the age of 60, and the premium paid for self, family, and children is Rs. 25,000, and the premium paid for parents is Rs. 50,000, the deductions are worth Rs. 75,000. When the policyholder, family members, and parents are above 60 years old and the premium is paid in the amount of Rs. 50,000 for self, family, and children, as well as parents, the deductions are worth Rs. 1,00,000. In case the premium is paid of Rs. 25,000 in both the cases, for cover for members of the HUF (Hindu Undivided Family), then the deductions can be availed of Rs. 25,000. And if the policy is purchased for Non-Resident Individuals for Rs. 25,000, then you can avail tax deductions of Rs. 25,000. You can avail of these tax benefits under Section 80D of the Income Tax Act, 1961. Also, note you can avail of tax benefits only if you have paid the premium in any mode other than cash.

How to Use A Health Insurance Premium Calculator At InsuranceDekho?

InsuranceDekho's health insurance premium calculator helps you assess the premium of various health insurance plans without even charging you anything for the service. The tool will provide you with a free quote and will help you in calculating the premium for a certain health insurance policy. In addition to helping you in obtaining free quotes and providing an estimate of the cost for various health insurance plans, InsuranceDekho's health insurance premium calculator also allows you to compare several suitable health insurance plans based on the information you provide. Using the tool, you can choose the most suitable health insurance plan according to your budget keeping both coverage and premium in mind.

Steps to Use InsuranceDekho’s Health Insurance Premium Calculator

InsuranceDekho’s health insurance premium calculator is a useful tool that is very easy to use. To use the free tool, you are required to follow the simple steps given below:

• Visit InsuranceDekho and click on the Health tab.
  
• Enter your personal details such as name, age, gender, members to be insured, mobile number, city, email ID, etc.
• Then click on ‘View Instant Quote’.
  
• There will be several suitable health insurance policies displayed on your screen as per your requirement, along with the estimated premium amount.
  
• You can customize your health insurance policy by changing your requirements. As you change your requirements or details, you will see the premium of health insurance plans change.
  
• InsuranceDekho’s health insurance premium calculator helps you see the features and benefits of various health insurance plans along with the premiums to be paid for them. It also allows you to compare two or more health insurance plans and pick the best one for yourself as well as your family. In case of any further query, doubt, or assistance required you can connect with the customer care executives at InsuranceDekho on the toll-free number 7551-196-989.
  

How to File a Health Insurance Claim?

A significant number of individuals encounter challenges when it comes to filing health insurance claims. They perceive it as a complex task to successfully process claims. This perception, however, is being reshaped by online insurers who are leveraging technology to introduce ease, transparency, and speed into the process.

There are three avenues through which claims can be filed: offline, via the insurer's representative, or through the online mode utilising the insurer's website or mobile application. Typically, the technology-driven approach proves more convenient. Additionally, a choice needs to be made between opting for a Cashless Claim procedure or a reimbursement claim process.

In the Cashless Process, a substantial portion of the hospital bill doesn't require upfront payment. The insurer and hospital settle the bill directly. Conversely, in the Reimbursement Process, the hospital bill must be cleared, receipts collected, a claim submitted, and subsequent reimbursement acquired from the insurer.

Here's an overview of the claims process:

Step 1: If choosing Cashless Claims, visit a hospital affiliated with the insurer's network and provide your Health Card or policy information. If not opting for Cashless Claims, visit any preferred hospital and inform the insurer directly or through a Third-party Administrator.

Step 2: A Third-party Administrator at the hospital acts as a liaison between the insurance company and the insured. Cooperate with the TPA by submitting documents and sharing information.

Step 3: Undergo treatment. In a Cashless Process, pay for deductibles or additional costs, while the TPA handles the rest on behalf of the insurer. In a Reimbursement Claim, cover the entire bill and retain comprehensive hospital receipts and bills for the claim application.

Step 4: The Cashless Process concludes upon settling the residual bill, while the Reimbursement Process finalises upon receiving the settlement amount from the insurer in your bank account.

Top-up and Super Top-up Health Insurance Premium

Top-up and Super Top-up Health Insurance Plans provide supplementary coverage beyond a specified threshold, enabling the option to forgo basic health insurance if preferred. Top-up plans become active when the hospital expenses surpass a predefined limit, whereas Super Top-up plans extend coverage to even greater extents. It's crucial to note that diverse insurers might present distinct attributes and advantages for these plans. Therefore, carefully examining the specific particulars of each plan is essential before arriving at a conclusion.

Conclusion

In a world where health uncertainties abound, having a reliable companion like the health insurance plans for family premium calculator is a game-changer. By unravelling the intricacies of premium calculations, it empowers you to take control of your healthcare decisions. As you embark on your journey to safeguarding your well-being, remember that knowledge is your greatest ally. Here's to a healthier and financially secure future, all thanks to the wonders of modern technology.