If you've searched Google for health insurance renewal and ended up on this page it's probably because your health insurance renewal has come about and you want to make sure you get good cover at an affordable price.
Renewing your health insurance policy is something most people don't put much effort into. In fact most people simply just let it automatically renew.
If your medical history and conditions have not changed there is nothing wrong with this. However the health insurance renewal process is much like the car insurance renewal process in that insurers such as Aviva, Bupa, AXA and so on make a large percentage of their profits from simply increasing people's premiums at renewal because so many people just can't be bothered with the hassle of shopping around for a better deal on their health insurance policy. For example additional cover at the same price or lower premiums.
Health insurance premiums do naturally increase most years to cover inflation or insurance premium tax changes (which have increased 8% over the last decade) but the insurers know they can profit from selling people a cheap policy initially then slowly increasing the premium over the years until the point where the client is paying much more than they have to but is very profitable for the insurer. To be blunt, you should always try your best not to be one of these people.
There are two main ways to handle your policy renewal. You can either go direct to the insurer such as Aviva or Bupa or you can go through a broker. The best way to get a great deal on your policy at renewal is to buy your health insurance policy through an insurance broker.
There are many advantages to using a broker but the biggest by far is that you're using their expertise at no cost. They are paid by the insurer (Aviva or Bupa etc) rather than you so it costs you no extra to use their services.
They will know all the factors that decide how much your health insurance renewal will cost you. For example...
- Do you reside in many different postcodes? Some will give you a cheaper premium than offers. I broker will be able to advise whats best.
- Do you have a hobby that may invalidate your insurance policy? A broker will know this vital information.
- If you are a couple and one of you have claimed on your policy this year would it be cheap to separate you both onto two different policies?
- You've developed a certain condition and want to know which insurer offers the largest amount of cover for it. A broker will know this instantly saving you huge amounts of time and effort.
As you can see a broker will be able to give you excellent advice about renewing your policy. They'll make sure you get the health cover you need while keeping your premiums at an affordable level that suits you.Brokers also often have offers such a one month free with insurers, or a no claims discount boost to lower your premium. Buying your policy through a broker can actually be cheaper than going directly to the insurers. Because brokers are paid up to 70% commission (not from you remember, they're 100% free) from the insurers when they sell you a policy they can often do what they call a commission sacrifice where they give you some of the commission the insurers have paid them for your policy.
So you can see there are clear reasons why brokers are such a great option when your health insurance renewal is up. Their expertise is simply invaluable.