Health insurance is a solid shield to protect you and your loved ones from the health risks arising during the long term. Not only is it a companion to share the burden of medical costs when risks of illnesses, accidents occur, health insurance also provides a comprehensive health care for your family.
What is renewing health insurance?
Most of the customers participating in the health insurance all have the needs of continuing to use insurance in the next years. That's the reason why insurance renewal procedure was born which helps customers to continue to use the hedging benefits arising with sickness, illness, accident or maternity without bound to pending terms like first year insured.
Conditions for health insurance renewal
The purchase of health insurance for themselves and their families is a good choice that many people have been very interested in. Insurance will help customers lead a more comfortable life and take care of the family because of the burden of reducing the contemplated or incurred cost of health care due to illnesses or accidents.
As we already know, or have a chance to use, when they first start joining health insurance, the customers must take some time called timeout before the illness (a certain number of illnesses) or maternity. So, for those cases arising in timeout or after the expiration of insurance, the customers will not receive the premium.
When you need health insurance renewal, the insurance company will review the records of insurance and your last year indemnity insurance rate to consider to increase, decrease or maintain the level of special premiums. Especially notably, the insurance companies will only accept health insurance renewals for customers with good insurance record.
There are many cases where customers think that they must use all their insured rights in the first year of insurance. It leads to the insurance overuse or misuse. As a result, the amount of compensation would be very high, and the rate of compensation also rises, customers may be denied to renew health insurance for the next years.
Not to mention the cases that customers profit by deliberately joining a year at the company, using the maximum level of their rights in a health insurance plan and then move on to other companies to participate from the beginning. Meanwhile, the insurers may refuse to renew these clients because their compensation records look too "bad". That's just short-term and immediate benefits, in the long run, customers can lose solid financial support when encountering an accident or an unintended illness.
In other words, the renewal of health insurance is very important, while customers will be covered for all risks arising in relation to illness, accident or maternity and are bonded as the first year of participation.
For insurance companies to approve customers’ renewal of insurance, customers should have a clear and reasonable plan. They shouldn’t be blinded by the immediate benefits to lose other important ones. When renewing health insurance, the client and the insurance company can review the cost of insurance premiums - to increase, decrease or maintain them depending on demand and the rate of the previous year's compensation.
And that’s some basic information about health insurance renewal, we hope you will make wise decisions for the future of your families and yourselves.