8 Ways to Reduce the Cost of Health Insurance

Are you overpaying for your health insurance policy? If you’ve been on the same plan for years, the chances are you’re paying over the odds.

While most of us will regularly shop around for car and home insurance, switching to a new health insurance provider – or even to a different plan with your current provider – is much less common. In fact, a 2019 study found that just 20% of people in Ireland regularly shop around to find the best health insurance plan.

Often, we find that people are unfamiliar with the terminology around health insurance and lack awareness into what benefits and coverage they could be entitled to with a different plan. As a result, many people have little or no idea what they’re actually covered for. 62% of people with health insurance will need to make a claim – so you could face some unwelcome surprises if you need treatment, only to find it’s not covered by your policy.

Over the past year, personal circumstances have changed massively for many of us: a lot of people have lost their jobs and may now be struggling to make repayments for their insurance. Fortunately, there are a number of ways you can reduce costs without needing to cancel your health insurance altogether. Here are our experts’ top tips for reducing your premiums:

1.      Review Your Cover Every Year

New plans are constantly being introduced to the market, so be sure to speak with your health insurance broker each year before you decide to renew your existing policies. There may be alternative plans available to suit your needs, and your budget, better than your current plan.

2.      Take On An Excess

Applying an excess to your plan can help reduce your premium costs. These excesses only apply to private hospitals and most plans offer excesses on a per stay basis, rather than per night. Generally speaking, higher excesses mean lower annual premiums.

3.      Ask About Corporate Plans

Many people are unaware they can access corporate plans as an individual – it doesn’t need to be through your employer or on a group basis. These plans are usually released for large corporate clients and will often offer the best value for money.

Legally, all plans must be made available to everyone. However, insurers are not obliged to tell customers about these plans. Because such plans often have confusing names, they can be hard to find and off-putting for individuals. Our health insurance advisers can help you find a corporate plan to match your existing coverage, so get in touch if you’re interested in making potentially significant savings on your premiums.

4.      Split Your Cover

If you have multiple people on your policy, that doesn’t mean you all need to have the same plan. For example, if you’re interested in maternity or fertility benefits, and your partner needs cover for sport, this can be accommodated without you both needing to be covered for everything. Ensuring each member is covered on a plan that truly meets their needs is crucial to keeping costs low and securing the right level of cover for you and your loved ones. We explore the benefits of a personalised insurance policy in our recent blog.

5.      Avail of Special Offers for Children

Insurers will often have special offers available for children – such as half price coverage for your child, or plans where you only pay for one child and others are included in the policy free of charge. Which plan works best for your family will depend on a number of variables, including how many children are in your family, and our experts can help you find the right one for you.

6.      Get Insured Before Your 35th Birthday

When you take out health insurance at the age of 34 or younger, you only need to pay your premium. But if you’re purchasing health insurance for the first time after your 35th birthday, you will have to pay a Lifetime Community Rating loading. You can find out more about Lifetime Community Ratings here.

7.      Consider Your Everyday Costs

If you regularly attend practitioners such as GPs, physiotherapists and dentists, opting for a plan where you can claim money back on these visits can help you reduce the overall cost of your healthcare. Corporate plans often offer the best cover on these day-to-day costs, so there are a number of options for you to consider.

8.      Don’t Be Afraid to Switch Providers

Changing providers can be nerve-wracking for some people. You may worry that you’ll lose out on cover, or will have to serve another waiting period before your cover kicks in.

If you change providers, you do not need to serve your waiting period again before being covered. If you are currently insured, and there is no break between your current plan ending and your new one starting, all insurers must honour the waiting periods you served with your previous provider.

Some people will feel loyal to their current provider. Unfortunately, with the cost of every plan generally increasing year-on-year, this loyalty can often result in you paying well over the odds for your cover. Shopping around every year when your renewal date comes around can hep significantly reduce costs, while ensuring your cover is fit for purpose.

We hope that, with the tips outlined above, you can start taking steps to reduce your health insurance costs today. However, at HCC we understand how confusing – and sometimes overwhelming – it can be to navigate all 320 plans currently available in Ireland.

Feel free to reach out with any questions, and we’ll gladly talk you through the plans on offer and help you find the best one for your unique needs and priorities. Visit www.hcc.ie to get in touch and start comparing plans with our online tool!