Understanding Health Insurance Underwriting Process

When looking for a cheaper health insurance plan, a basic understanding of thewriting process of an insurance company may become invaluable. The possibility of provision and the coverage cost under consideration will be determined by the underwriting.

The underwriting procedure differences for health insurance of an individual and family or group. The underwriter keeps in mind the possible risks and dangers that the insurance company may be carrying by providing such policy while evaluating the cost of an individual health plan. The age of person, his lifestyle, the health status of the person, and the previous ailments and medical history are the factors that affect the estimation of risks or dangers. The underwriter can not separately judge each individual in a group but instead, the underwriter will consider the risks of the company before when insuring the group. This is done by providing insurance to groups that are similar. If you will try to observe and come up with a conclusion, you can say that having insurance for health in a group is cheaper than having it as an individual. Although they are in a group, the price of the premiums to be paid will still depend on the age and the health of each person and that will determine certain additions or exclusions for each individual cost.

All you have to do when applying for health insurance is to provide your basic information which includes your lifestyle and general health. You will undergo questions and even interviews and you must expect some questions that concerns smoking, previous sickness and treatments, exercise, and so on.