Because of the escalating COVID-19 instances around the country, health insurance has successfully transitioned from a nice-to-have product to a must-have commodity in recent years. People are terrified that the unique coronavirus will infect them at anytime, anyplace, and have recognized that the only way to protect themselves financially from the pandemic is to get a complete health insurance plan.
A rise in Health Insurance Renewals
According to available data, nearly 85 percent of family-floater health insurance consumers renewed their plans before they expired last year. In the same way, almost 80% of clients with individual health insurance plans renewed their contracts before the expiration date. Individual renewal rates were 94 percent for people and 97 percent for family floater plans for consumers with health insurance older than a year. While the ongoing epidemic may have influenced the original choice to get health insurance, individuals have gradually learned the importance of health insurance in ensuring the finest possible health care without having to worry about the expense. When you renew your health insurance policy by the due date, you get a slew of perks, including uninterrupted coverage, No-Claim Bonus benefits, and no new waiting period. You would never want to take a break in your health coverage during extraordinary times like these, when the COVID-19 virus is suspected to have become airborne, and would rather keep covered every day.
Wellness Plans Gain Traction
Another noteworthy tendency to note is that, in what can only be described as an escalating trend, customers are now exploiting their ‘wellness points’ to obtain premium savings during the renewal of their health insurance policies. Over 20% of consumers who purchased health insurance coverage in March and April last year used wellness points to renew their coverage this year. This demonstrates how individuals are gradually shifting away from standard health insurance options and toward a preventative mindset. When it comes to health insurance, a large number of customers have shown a proactive interest in remaining healthy and have requested wellness-oriented health insurance policies in the previous two years.
Rs 1 Crore Sum Insured – A New Category
Intriguingly, Rs 1-crore health insurance policies have also effectively carved out a position for themselves in the business during the previous 12 months. Customers increased their coverage and invested in Rs 1-crore sum insured health plans in 35% of all health insurance renewals this year. These policies, which were formerly prohibitively expensive, are now widely accessible at affordable prices, with monthly premiums as low as Rs 600 to Rs 800 for a 30-year-old individual residing in a major city. This has also been made feasible by the addition of the option of paying premiums in monthly instalments.