Does Voluntary Deductible Selection Reduce Premiums for Malaria Coverage

Yes, selecting a voluntary deductible in a health insurance policy can reduce your premiums for malaria-related coverage. Health insurance policyholders need to agree to share the portion of medical expenses that they must pay first, before the insurance company begins to pay its share.

What are Voluntary Deductibles in Health Insurance?

In simple terms, a voluntary deductible in health insurance defines the amount that you, as a policyholder, choose to pay from your own pocket during a claim before the insurer starts to pay.

​Let’s better understand it with the help of an example:

​Suppose Ram has a policy that includes a voluntary deductible of ₹15,000. Now Ram has been hospitalised due to malaria, and the treatment for the condition costs around ₹40,000. Now, as Ram has a voluntary deductible of ₹15,000, he will pay the first ₹15,000, and the remaining amount will be paid by the insurer. However, it can be subject to policy terms and conditions.

​The main factor that helps reduce the premium cost for malaria coverage is the cost-sharing arrangement between the insurer and the policyholder.

How Voluntary Deductibles Work and Help Reduce Premiums for Malaria Coverage?​

Here is the breakdown:​

How it works: You choose an out-of-pocket expense, such as ₹5,000, ₹10,000 or , ₹20,000 that you need to pay whenever you request a claim, whether it is claim related to malaria or some other illnesses. In return, your insurance company will charge you a lower premium. In simple terms, if you agree to pay the initial amount more, you will be charged a lower premium for your health insurance policy.

Who Should Consider Getting Voluntary Deductibles in Health Insurance?

Voluntary deductibles are highly recommended to people who are young, healthy and do not require frequent medical attention, including repeated hospitalisation due to diseases like malaria. This is because these people may benefit from lower premiums while still having financial protection for major medical emergencies. In addition, it is also a good option for individuals who can manage small medical expenses from their own savings.