3 ways to save money annually on your insurance plans

Are health insurance costs hurting your wallet? See below for some cost saving tips to keep your budget in check.

Collect data

A highly effective way of saving money on health insurance is to keep track of your lifestyle and health expenses from year to year. Once you have this information, compare the cover you currently have with the claims that you actually made.

This could be done via calendar year or financial year, depending on when your benefits reset. If you notice that you’re consistently beneath or exceeding your annual limits, it’s time to reassess your level of cover.

This could mean that you end up dropping it up or down to regain more balance with what you are spending versus getting back through rebates. Saving money long term means adjusting your cover as needed, but will require you to invest your attention to determine when is best to do this.

Plan Ahead

Of course, you cannot predict the exact future of your health, but even after a few years of tracking, you may notice some patterns in your own health expenditure that will inform your insurance choice, instead of relying on what you feel you may need.

So in addition to selecting a product that suits your needs now, try to anticipate when those needs are most likely to evolve. In other words, identify what future health services you know that you will spend money on and factor this into your future reviews of your health cover.

Don’t forget, however, that if you are planning to spend on specific items and services in the future, like major dental and optical work or obstetrics, you may need to serve waiting periods if your cover has been adjusted down then reverted back to a higher level, so be clear on what these time frames may be for you.

Outsource your search

Don’t rely on the biggest advertising budgets or media presence as the sole way to find yourself a health insurance policy.

There are now many health insurance comparison sites available in Australia, which will base their analysis on data that you provide them in order to suggest policies that suit you best.

Use them to help narrow down a selection of policies that you then research further in depth, but double check the variety of funds they compare to ensure you get an accurate cross section of the market.