You know you are getting old when you start forgetting where you place your mobile phone, having difficulty raising heavy objects or finding technology too hard to keep up with. You have worked hard all your life, so it is time to rest on your achievements, right? Well, it depends if you have sufficient health insurance. If you think you are too old to have health insurance, find out why this is actually not quite right.
Never Too Old for Health Insurance
You may have heard that buying insurance needs to be done when you are still young as premiums are low and when you get health insurance when you are older, the premiums are just too high and it might not be worth it anymore. This may only apply for life insurance but it is not the same for health insurance. The premiums that you need to pay will still be based on your current age regardless of when you apply for health insurance.
Important Things to Look Out for in Senior Health Insurance
Health insurance is still a business first financial product, thus there are terms and conditions that you need to be aware of. When looking for a good health insurance, be sure to check the wordings behind the policy. Here are some things you need to look out for:
- Maximum Entry Age: This refers to the latest you can apply for the policy. Generally, the set limit is 75 years old so you need to apply for the policy before you turn 75 years of age. This may not imply that the policy will expire once you hit 75 as there are some policies that cover you for life. The set limit simply means that you will not be able to apply for health insurance if you are above 75 years old.
- Pre-Existing Health Conditions: Age is not the only factor that you need to know of. Many insurance companies will not accept applicants who have pre-existing health conditions. If you had critical illnesses before like cancer, you may not be insurable. This is unfortunate but it is generally what you need to expect. It does not make sense for insurance companies to cover someone who may wind up costing them more than what they can earn from monthly premiums. If you do not have any serious pre-existing conditions, then it is best for you to apply for a health policy right away while you are still eligible.
- Cost vs. Coverage: If you are below the maximum entry age and are quite healthy, you still need to consider the cost of coverage. As you get older, the health policy premiums will increase. What some insurance companies do not indicate is exactly how much the increase will be. Some insurance policies can go up to at least $200 per year after the policyholder reaches the age of 80 years. All insurance companies will also remind you that premium rates are not guaranteed and may change based on future claims. In simple terms, once a claim is made, your premiums will mostly go up.
