Factors That Affect Health Insurance Premiums
Nowadays, it is really simple to buy a health insurance policy online. You have multiple options to choose from, and you can easily obtain all the details you seek. However, selecting the right policy is essential here. You cannot buy just any policy and expect it to work perfectly in each and every situation. Plus, you also need to make sure the premium you are paying is reasonable. This is why it is crucial to have some idea about the factors that affect health insurance premiums. So, before you buy health insurance, let us share some useful information with you.
Factor #1: Your age and gender
Yes, your age is taken into consideration at the time of calculating the premium amount. Insurance companies charge a lesser premium from young policyholders. As we grow old, we become more vulnerable to different sorts of health issues. As a result, the insurance companies start charging a higher premium. In comparison, women policyholders have to pay a higher premium than men do. There are mainly two reasons behind it; first of all, women are more vulnerable to chronic diseases; secondly, they are more likely to visit doctors.
Factor #2: Your pre-existing medical conditions
When someone buys a health insurance policy, he/she has to go through some basic medical tests. The purpose of these tests is to make sure the applicant is not suffering from any medical condition or disease. If something is detected in those tests, the company will charge a higher premium from the applicant. In fact, the insurance company might even refuse to cover the same.
Factor #3: Your family’s medical history
There are certain diseases or illnesses that are counted as high-risk cases. If your family’s medical history features any of those medical conditions, the premium amount will go up. Cancer and heart diseases are two such examples.
Factor #4: Consumption or tobacco and alcohol
Whenever you buy health insurance, you will be asked if you have the habit of smoking and drinking. As is known, people who drink alcohol and smoke on a regular basis are more prone to diseases like lung cancer and TB. This is why the premium charged in such cases is much higher. In fact, some insurance companies even refuse to sell policies to such people.
Factor #5: Your choice of profession
The place you work and its nature is also one of the determining factors. If you work in a highly polluted area, in the field of construction, or in a chemical factory, you will have to pay a higher premium. Professions that involve a high risk of physical injuries or cardiovascular diseases invite a higher rate of premium.
Factor #6: Your body’s BMI
BMI stands for Body Mass Index, and it is an indication of your health and fitness. People with higher BMI are more vulnerable to heart diseases, joint problems, and diabetes. Therefore, it is better to keep yourself in good shape, which certainly has many other advantages as well.
So, those are some of the key factors that affect your health insurance premium. Your marital status and your location are also taken into consideration. Now that you know about the main factors, it will become easier for you to buy a policy.
