How to Save Money on Your Private Health Insurance
A discerning private health insurance subscriber should compare health insurance policies and premiums on the market and select one that meets his or her needs. However, time invested in comparison shopping is not the only factor that determines your ability to make savings on premiums. A smart private health insurance buyer should make an effort to use a few strategies to try and save on premiums.
Here are 6 tips to help you seek out savings:
1. Ask your physician
Your physician is one of the best people to approach for advice on health insurance cover, as he or she is informed about your health issues and hence able to give advice on what cover you may want to have. By talking to your physician, you can filter out the unnecessary options in your cover and this may potentially save hundreds of dollars.
2. Customise your policy
Adjusting your policy to suit your current needs at the stage of life you are at is one potential way to reduce your insurance costs. You should look at your current lifestyle and work out what life stage and state of health you are at. This will help you determine your selection of the various options in your policy.
For example, if you are an empty-nester, you won’t need obstetrics cover, and if you are over 40 years old, major dental cover is an option you might not want to leave out. Excluding some coverage areas may substantially reduce your premiums.
3. Review your funds
Ensure that you weigh the price of your policy in terms of what you’ll get back, especially if you plan to choose ancillary cover for dentistry, physiotherapy and optical services. Keep on reviewing your funds and constantly compare the premiums offered by other health insurance companies to make sure that you get value for money for your premium.
4. Switch policy if necessary
If you happen to come across a better health insurance policy for you, with competitive premiums, don’t be afraid to switch private health funds. Some people have the false impression that they’ll have to go through a new waiting period. However, the truth is that you are guaranteed continuity of cover if you switch health insurance policies to another with the same level of cover.
5. Pay a portion of your hospital bill
Another way to help reduce health insurance premiums is to pay a higher excess. This means agreeing to pay up to $500 of the hospital bill for singles and $1000 for a family. Alternatively, you may be able to pay lower premiums by agreeing to a daily co-payment for any inpatient hosiptal treatment, that is, paying a set amount per night for each night you’re in hospital.
6. Mix, match and review
Often people have the impression that both hospital and extras cover must be bought from the same insurer. This is not true. You may save money by getting a deal on ancillary cover with a different health insurer. It is important to review the competitiveness of your policy in the market to strike a better deal.
Be a smart and well-informed health insurance subscriber by consistently reviewing your policy and comparing your health insurance with others in the market. If you are overly complacent with your current policy, you may miss out on opportunities to save money on health insurance.
Use the above strategies to guide you toward making savings in the long run. Keep reassessing your policy to see if you can further cut down on your premium or other expenses. Also, keep an eye on the policies offered by other insurers and do not hesitate to be ready to make the switch if you find a policy that suits you better.
Disclaimer: The above information is correct and current at the time of publication
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