I have a family floater policy, which also covers my 56-year-old mother. I wanted to know how companies increase premium if senior citizens are included in the cover.
Sonu Batra, Delhi
There are several ways or times when an insurer can change or increase the premium on a health policy. Some insurers do this every year, and some change this in blocks of 2-3 years as mentioned in the policy document. The change in policy rates is not linked to just one policy, but to all the policies issued by the insurer.
There are companies that have a clause to change the premium based on the claim experience it underwent with the policyholder. In such cases the insurer also has the right to refuse renewal in certain instances. At the same time, insurers also offer a lifelong cover, which may be subject to revision in premiums from time to time.
