Ask someone in your area about hospital treatment bills and they will tell you how expensive they are. To save yourself or your family the cost of hospitalization in the event of a medical emergency, you can opt for health insurance. But there is a common question that people often ask themselves: “What if I don’t mean anything?” People have the misconception that paying your premiums is simply considered a bad investment, which is not true. With the help of the bonus accumulated in a health insurance plan, people are rewarded for not filing claims in a year because they focused on their health and stayed healthy.
Yes, you heard that right! If you do not apply for your health insurance within a year, you will receive cash rewards in the form of an accumulated bonus for the next year of your policy. Generally, there are two types of accumulated premiums: an increase in the amount insured or a decrease in the premium paid for your policy. Since hospital bills increase every year and keep inflation under control, you will surely want a greater amount of insurance for your plan so that you can have a greater amount of insurance in the event of a problem.
Wondering how the accumulated bonus on health insurance works? Here in this article, we are going to cover everything related to it. We will also tell you about some of the best health insurances that offer policyholders the maximum cumulative bonus. Keep reading to know more!
One of the most important factors to consider when choosing the right health insurance plan is the cumulative bonus offered by a particular policy. The higher the percentage of the accumulated premium, the greater the increase in the sum insured of your policy for each year without losses. That is why people should check this factor. Taking care of your own health is a daunting task and people should be rewarded for it. Well, a cumulative bonus on health insurance is that reward.
Simply put, for each loss-free year, your sum insured (sum insured) increases by a certain percentage in the following year, while your premium amount remains the same. This additional amount is the accumulated bonus in health insurance. Normally, this percentage is between 5% and 10% per year and can reach a maximum of 50%. You must remember that this percentage changes from one insurance company to another.