Given the pace at which medical expenses are rising and the growth of lifestyle diseases, medical insurance proves to be an investment for your financial security. When selecting a health cover, it is better to compare a few policies offered by reliable insurance providers like Care insurance, ICIC Lombard, HDFC Ergo, etc.,and estimate your premium cost using a premium calculator. That will help you find an affordable option while ensuring maximum coverage.

When providing a health cover, insurers consider the information shared by the customer and several factors for calculating the amount one pays as the premium. Remember these important factors while searching for the best health insurance plan and comparing different policies.   

Factors that Affect Health Insurance Premium Costs

Age: Age is one of the most vital factors. Typically, the premium amount is higher for older individuals as they have higher health risks than young adults. It is primarily due to this fact that one should get a health cover at a young age.

Pre-existing conditions: It is necessary to disclose correct facts, including details about any pre-existing condition, when applying for a health insurance policy. A person suffering from a pre-existing disease may need to complete the specified waiting period before getting a claim. Such persons also would have to pay a higher premium.

Family Medical History: Insurance companies also consider details about an individual’s family medical history. It helps in knowing if any disease, like cancer, runs in the family that may increase the health risks for the applicant, thus impacting the premium costs.

Smoking and Drinking Habits: The health risks of people prone to lifestyle habits like smoking and alcohol consumption are higher. Hence, insurers may charge a high premium to provide coverage for such individuals.

Body Mass Index: TheBody Mass Index or BMI is another crucial factor on which the premium depends. People having a BMI above the normal limit are prone to severe ailments, such as heart disease, stroke, etc. So, insurers consider this fact when deciding the premium rate.

Type of Policy Opted: The health insurance premium costs would differ based on the type of policy one has selected. In addition to that, if the policyholder opts for add-on covers with the policy, the premium will accordingly increase.

Occupation: Those in high-risk professions, such as aviation, mining, construction workers, etc., have higher chances of facing injuries or medical emergencies. Thus, they would have to pay a higher health insurance premium.


Being well-informed about how different factors impact your premium can help you search for the best health insurance plan. Also, there are some ways to reduce the impact of high premium costs. For example, getting a health cover at a young age takes care of the age factor and allows you to get an affordable policy.

Health insurers, like Care insurance and others, follow the underwriting process to evaluate the risk of individuals buying a health insurance policy.

Nowadays, the buying process is simplified, thanks to the online portals that enable you to find and select a health policy and pay the health insurance premium online through secure payment modes.