Blog

June 27, 2021

Top 6 Tips To Save Money On Health Insurance

Is that health insurance renewal nearing? Know how you can save on your next premium.

So, it’s probably time to renew your health insurance policy or you have finally decided to take one considering the ongoing uncertainties. Obviously, the first thing that comes to mind is, how can I save money on the insurance premium? Fear not, it’s only natural to think of ways to save money during these difficult times. Firstly, one needs to understand the benefits that are proposed in the health insurance plan in order to set aside an ideal premium that will have ample coverage for you and your beloved family members. Let’s go over some important terminologies that you will most often find in a health insurance policy and once we understand this, we will look at ways on how to save money by negotiating the benefits with the insurers.

  • Network

An insurance company will have pre-set networks of healthcare providers. These networks are typically grouped as per the agreed tariff rates between an insurer and the healthcare provider. So, providers with a higher cost of treatments will be grouped in a higher tier network and the insurance premium for such plans will be relatively higher. If you are looking to save on your health insurance policy premium, explore the possibility of downgrading your current network with other available equivalent alternatives. A reduction in your current network could go a long way in reducing the policy premium.

  • Co-Pay/Co-Insurance

Think of co-pay as something as a two-sided candy, one side sour, one side sweet. Co-pay is a cost-sharing mechanism between you and the insurance company. But wait, WHY? After all, you have paid the full policy premium, why would you want to share the cost of treatment with the insurer? Well, this is the sour part of the candy. The insurers consider copay as a claim control measure. If you were to pay a part of the expenses of the treatment, you would be mindful of what you were opting for or even try some good old home remedies instead of prescription medicines. Policies with co-pays generally get a reduction in premium – the sweet part of the candy. It’s essentially a win-win, you save money on the premium and insurers get a responsible customer in return.

  • Deductibles

People who own a car would be familiar with the term ‘deductible/excess. Yes, that’s right, you have seen it on your motor insurance policy. Similarly, in a health insurance policy, deductibles can be applied to your consultations as well. Most insurers have a range of deductibles they can apply on the policies, but remember-the higher the deductible, the better chances of premium reduction. So, if you are one of those lucky ones who don’t frequently take trips to the doctor’s office, then you may very well consider higher deductibles and demand the insurer for a reduction in the premium.

  • Area of coverage

Live, work and spend most of your time in the U.A.E? then opt for a health insurance plan that has local area coverage plus your home country extension.  If your current health insurance plan provides worldwide coverage including countries like U.S.A and Canada, then you may request the insurer to downsize your area of coverage and negotiate discounts on the premium.

  • Sum Insured

As per mandate by DHA, the regulator in the U.A.E, the minimum sum insured a health insurance policy need to carry is AED 150000, which indicates this amount is adequate for an average person’s health insurance coverage for an entire year. Any amount in excess of this would be an add on which an insurer can propose. So, if you currently have a policy with coverage beyond the required minimum coverage, you can request your insurer to reduce the total sum insured to an amount you are comfortable with. This can in turn help you to save your health insurance policy premium.

  • Additional Benefits

Benefits such as dental, optical and alternate treatments are considered to be add-ons or additional benefits that a health insurance policy can offer. These are the toppings to your dessert, tastes better but would cost extra. For those who are looking to cover only the essentials and premium is the primary focus, then request your insurance company to quote you a health insurance plans without the additional benefits of dental, optical and alternative treatments.

For most of us, the health insurance costs seem to increase every year and saving money is of the essence during these difficult times. But if you think the cost of health insurance gives you an excuse to not have one, Think again! It is important to have the right coverage in place with regards to your health insurance plan because, in times of medical crisis, the last thing you want to worry is about is how you’re going to pay for it. It may be overwhelming to grasp the various technicalities in a health insurance policy, an insurance broker can help you find a suitable plan which fits your budget. We can make the process of choosing the right coverage and saving money a simple and easy process.

Thinking about renewing an existing health insurance policy? Or perhaps a new health insurance policy with Gargash Insurance optimum health insurance policy.

Recent Posts

Know More

Fire Claims on Property All Risks Insurance Policy

A leading supermarket chain with multiple locations across UAE had a fire incident. Read on to find out how we supported them through the claims process

Know More

Professional Indemnity (PI) Insurance Claim

The insured is a leading façade company having offices across the world including the UAE. They had taken a Professional Indemnity policy to protect them against claims of professional negligence made by dissatisfied customers.

Know More

Things You Should Know About Your Health Insurance Provider

It is important to know enough about your insurance provider. Here's what you need to know when choosing an insurance provider...