1) Understand what your needs are and how much you can put aside regularly. Seek your agent’s advice before choosing a plan that suits you best.
2) Understand what the terms and conditions are, as well as the scope of cover provided under the policy. What are the benefits? What is NOT covered? How long is the coverage for? What is the waiting period? What is the limit (both annual and lifetime) you can claim?
3) Is there any co-insurance? Co-insurance is a cost-sharing arrangement between the insurer and policyholder. For example, co-insurance on a 10/90 basis means the policyholder will pay 10% of the bill, and the insurer will pay the balance, subject to the terms and conditions of the policy.
4) Will the premium remain the same amount throughout the duration of the policy, or will it increase according to age?
5) It is important to disclose details of your or your family’s medical history (if any) at the time of purchase, to avoid any dispute in the future.
6) Take time to talk to your agent about the claims procedure, so you are aware of what’s involved.
7) All insurance companies offer a 15-day free look. If you do not find the policy suitable and return it within that period, you are entitled to a refund of the premium paid (subject to terms and conditions).