More and more people fall sick every day. With medical bills also rising, it has become impossible for many people to bear hospitalization expenses. Changing lifestyles, bad eating habits, and unbridled work stress havefurther worsened the scenario.
If the medical condition that ails you mandates hospitalization, then you might suffer from unbearable financial burden.
To secure your finances and protect yourselffrom unforeseen situations, the best solution is to purchase an adequate health insurance plan. You are spoilt with options as several insurance companies have come up with various attractive plans that offer good coverage, cost-effective premiums, varied features, etc. This might make choosing a good plan a little difficult, but do not worry, we are here to help.
There are many factors that you need to consider before zeroing on a health insurance plan.One such important factor that you need to check before you choose aninsurer would be their Claim Settlement Ratio (CSR).
The number of claims approved by the health insurance company in a given policy term from the total number of claims received is said to be its Claim Settlement Ratio. This is certainly an essential factor to gauge before selecting a health insurance plan. Make it a point to always considerthe insurer’s CSR before you purchase a policy. You must look at an insurer’s CSR because it reflects the reliability of the former’s claims process.
Why is CSR important?
People buy health insurance policies to secure themselves medically. If the insurer does not co-operateduring an insurance claim, then purchasing a policy from such a company would be pointless. Understand how the insurer reacts when you need the funds. In short, you will get to know how reliable your insurance provider is and how smoothly they settle claims.
High CSR or Low CSR?
Opt for a health insurance company that has a high CSR. It might be so that you would have to pay marginally higher premiums, but the chances of your claim gettingapproved at the time of an emergency would be higher. If you don’t want to pay high premiums and go for an insurer with a low CSR, you must prepare yourself mentallyas claim rejection might occur.
Keep your needs in mind and always make an informed decision. You can do this by comparing various parts of the CSR using comparison tools available online. The Indian insurance regulator IRDA mandates all insurers to publish their CSR figures on a monthly, quarterly, and annual basis for public access.
If you wish to cover your entire family under a single insurance plan, you can opt for family health insurance.
But remember, when you are selecting an insurance company, consider other important factors as well and not just the CSR. Always go through online reviews and ask your friends and relatives about their experiences with various insurance companies. In short, do your research before investing.