The COVID times have changed many things. It has changed the way we work, the way we spend leisure hours, our daily routine; it has given us the opportunity to appreciate the smaller things in life and pick up new hobbies. But most importantly it made us more conscious about our health and wellbeing.
Recently Max Bupa health insurance conducted a survey to determine whether there has been any mindset changes among people after the outbreak of COVID 19. The reports show amazing differences between how people thought before and after the pandemic. It shows increased awareness about unknown diseases, more millennials and women coming forward to enquire and buy health insurance policies and other trends.
Here are the findings:-
Comprehensive health cover: More millennials are realising its need!
Since the outbreak of coronavirus, there has been a sharp increase in the number of millennials coming forward to enquire and buy comprehensive insurance, i.e. policies covering treatment/ailment that are usually not covered in regular health plans, that covers new diseases. In pre-COVID times the percentage of buyers and intenders for comprehensive plans were 32% and 41% respectively. In the last few months, the demand for such plans saw a significant increase with the percentage of buyers and intenders going up to 55% and 60%.
COVID 19 was the wake up call for many. The increase in the number of policy takers and intenders among the millennials for comprehensive insurance is a clear sign of rising awareness about such a plan and importance of having it.
The gender mix: Consciousness among women is far more than men
Even before the coronavirus outbreak, the demand for comprehensive coverage was more amongst women than men. Pre-COVID, if 33% men opted for comprehensive insurance, the demand for the same was 45% among the women, as per the Max Bupa survey.
Now the awareness about comprehensive insurance among men saw a 20% spike with overall 53% showing interest in the post-COVID times. But in comparison to women, the number is still low. In the last few months, the overall demand for a comprehensive plan among women has increased from 45% to 63%.
The Pandemic trauma: All our concerns today are COVID- centric
Before the pandemic, the biggest concern in people’s mind was increase in personal health/well-being expenses. At least 70% of people thought that way. A common thought that often crossed people’s minds was, considering medical inflation, how will I arrange for money if someone from my family or I fall seriously ill and needs to be hospitalized.
But, this thought process has changed significantly since the outbreak of coronavirus. Today, 54% of people are concerned about keeping their family safe from the disease. Meanwhile, 50% of the people are concerned about going out of work or loss of income due to the lockdown.
While it is true that today the overall life expectancy has increased significantly due to advancements in medical science, it is also a fact that the number of diseases affecting us today are also on the rise. For example, H1N1, Sars virus, Mers virus and most recently COVID -19. Being a pandemic, COVID-19 has left us shaken, changing our priorities forever.
Policy preferences: Shift from policy that spread awareness to policy that rewards awareness
The pandemic has also changed the way people choose which health insurance policy to buy. In recent times, there has been a preference shift from policy that spreads awareness to policy that rewards you for being aware.
In fact before the coronavirus outbreak, 41% of people and 46% insurance owners preferred health insurance policies which would arrange talks, walkathon that would make them more aware about health and wellness. However, there is a major shift in policy preferences, with more 49% of the overall population and 57% health insurance policyholders showing their preferences for rewarding policies. The facts were stated by the Max Bupa survey.
Since the outbreak of COVID 19, people are now constantly reading and gaining information about health and wellness and are much more aware than earlier, which is a positive sign. Hence, they are preferring the health insurance policies that reward them for being healthy or being more aware.
Policy coverage queries: Coverage for COVID is most enquired about
While someone bought a health policy, though the coverage for new diseases, like coronavirus, was enquired about, it was never the top most query. People asked about the coverage for all possible diseases, especially diseases like diabetes, heart ailment, cancer etc which are often hereditary and run in the family. This was before the pandemic outbreak. The percentage of people looking for a policy that pays for unknown illnesses (before COVID) was 50% for the overall population, 49% for insurance policyholders, 52% among the intenders, 46% and 57% among men and women respectively.
The reality changed after the outbreak of coronavirus, and the topmost question that is most asked today is whether the policy covers COVID and other unknown diseases. The percentage of such queries is 58% for the overall population, 65% for insurance policyholders, 60% among the intenders, 58% and 69% among men and women respectively.
In fact, the queries regarding coverage for COVID now are much higher than the top most queries, i.e. whether the health insurance policy pays for all illness, in the pre-COVID times.
Rising medical costs: A city-wise study
Medical inflation and rising cost of treatment has become a major concern for all of us. But the magnitude of this concern is different citywise. The Max Bupa survey revealed, in Lucknow, 95% of the millennials are worried about this thought, on the contrary only 51% of Delhi youngsters are concerned about the same.
Buying a health insurance policy is the only way to find a solution, it covers the medical expenses if you or any of your family members are taken ill. Raising awareness about the importance of having health insurance is important in cities like Lucknow, where health insurance penetration is low.
Critical illness was the topmost reason for buying health insurance before COVID 19
Before the outbreak of COVID 19, if 86% of people bought health insurance for critical illness and 53% for all ailments, only 39% bought it to guard against unknown diseases like COVID 19. In fact, even though India is recognized as the capital for heart ailment, only 23% people bought it against heart diseases.
Currently, most health insurance policies are bought with the primary focus on the fact whether they cover diseases like COVID 19.
Coverage amount is the top criteria determining the buying decision
In the pre-COVID times, most people decided to buy a health plan depending on how much coverage the plan would be providing. At least, 66% of people took it to be the top most criteria. Another big concern was whether the plan provides a cashless facility. 55% of people thought it to be important. Other important concerns were – illness covered (39%), whether family floater is available (33%), premium amount (30%). Meanwhile, duration of health coverage was the least of the concerns while buying health policy. Only 21% thought it to be important.
Today, not only the top query regarding health insurance is whether it covers COVID 19 or not, in fact it is the top criteria for purchase of health insurance policy. As much as it is very important for one to know whether it covers an unknown disease like COVID 19, a policy should not be bought solely based on that fact. Your research should be more extensive while buying a health insurance policy.
Awareness about policy feature: Delhites are most informed
As much as it is important to have a health insurance policy, it is equally important to know what it covers and what its features are. In that sense people in Delhi are most well informed about important features about their health insurance policies. 81% have the awareness about the importance of having a separate cover for life threatening disease. 93% know about cashless facilities and 78% are aware of room rent eligibility. Meanwhile, for all the three criteria, Bengaluru features in the bottom of the list.
This is a classic example of how awareness can reduce our concerns. As per the Max Bupa survey people are not only aware of the importance of having health insurance, they are least worried about rising healthcare expenses. If we join the dots and scrutinize both the parts of the report, then we will realise that these two results are interlinked.
