High or Low Deductible Health Insurance - Which one to Opt for?

There are so many health insurance plan options available that it gets difficult to understand all of them and their features. When you are purchasing a health insurance policy you might actually want to do some planning and quick comparison to find an ideal health insurance plan for yourself or your family members. Sometimes the whole process can be a bit time-consuming, and sometime the policyholders don’t even realize that they have deductibles, which makes it even more challenging.

Read More

Get ₹5 Lac Health Insurance starts @ ₹200/month*
Tax Benefitup to Rs.75,000
Save up to 12.5%* on 2 Year Payment Plans
7 Lakh+ Happy Customers

*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply
*Tax benefit is subject to changes in tax laws. Standard T&C Apply

Get insured from the comfort of your home No medicals required
I am a

My name is

My number is

By clicking on ‘View Plans’ you, agreed to our Privacy Policy and Terms of use
I am a

My name is

My number is

Select Age

City Living in

    Popular Cities

    Do you have an existing illness or medical history?

    This helps us find plans that cover your condition and avoid claim rejection

    Get updates on WhatsApp

    What is your existing illness?

    Select all that apply

    When did you recover from Covid-19?

    Some plans are available only after a certain time

    With some reading and online research you can get to understand your health insurance policy terms and conditions. If you know and understand the different aspects that can affect your policy coverage likes low and high deductibles. By simply doing a thorough comparison of the deductible clause in your health insurance policy you can get to know the reason behind the cost of the premium being high or low and then ultimately purchase and ideal health insurance plan.

    Premium and deductibles are some of the key health insurance terms that will help you understand the different health plans in order to make a wise decision. Premium you already know is the cost of your health insurance against the benefits availed. Deductibles on the other hand refer to the percentage of sum insured amount that you need to pay upfront for your treatment before the insurer actually pays it to you. If you choose the higher deductible limit, the lesser will be the premium and higher the amount that you pay from your own pocket.

    The relationship between the premium and deductibles is an inverse relationship. It means when the premium is higher, the deductible amount would be lower, and vice versa.

    Options of Deductibles in Health Insurance

    You can choose health plan with two types of deductible options as given below:

    Health insurance plan with low deductible:

    • It is considered to be a perfect health insurance plan for people requiring regular and fuss-free health care benefits
    • The premium that you need to pay is on a higher side
    • Though, the premium is on a higher side you don’t need to pay anything from your pocket up to the coverage limit unlike high deductible health insurance plans
    • The insured can start with the treatment without any financial pressure

    If you opt for a health insurance plan with high deductible:

    • The policy premium that you need to pay is on a lower side
    • The policyholder needs to bear a pre-determined percentage of deductible before availing the health insurance cover
    • Most of the critical illness plans, senior citizen plans come with higher deductible options

    Should You Choose a Health Plan with Higher Deductibles Or Lower Deductibles?

    If you opt for a health insurance plan with low deductible:

    It is ideal to opt for a low or no deductible health plan under the following situations:

    • If you have a critical illness or senior citizen health plan
    • If your health condition requires you to visit the doctor often
    • You have an infant or are expecting a baby or doing family planning
    • If you plan to undergo some major surgery in future
    • You or your family member need to visit the hospital often

    So, a lower deductible plan offers equal cover at a slightly higher premium but it saves you a lot of money at the time of claim settlement or a health emergency.

    If you opt for a health insurance plan with high deductible:

    You can only consider buying a high deductible health plan in case you meet the following criteria:

    • If you have a good medical history
    • If you are young
    • If none of the elders or senior citizens are covered in your health plan
    • If you are unmarried or don’t have dependent children
    • If you do not foresee a planned hospitalization anytime in two years and find it difficult to pay higher premium
    • If you are okay to manage with a delayed health cover


    If you think you won’t be able to pay your policy premiums, and only need health cover for some minor health emergences then you can opt for higher deductibles. But that is only if you think you will be able to pay a portion of the treatment cost. If you do not want to lose out on coverage and want immediate health cover in case of an emergency then go for lower or no deductibles.

    In an ideal scenario a hassle free policy with no deductibles is a convenient option. But in certain plans the deductibles can be compulsory depending on the applicant’s age and medical condition.  However, the final decision entirely depends upon your individual preferences and healthcare needs.

    Disclaimer: Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by an insurer.

    Health insurance articles

    Recent Articles
    Popular Articles
    Does Health Insurance Cover Brain Tumour?

    17 May 2022

    The brain is one of the most important organs in your body. It is...
    Read more
    12 Tips to Avoid Common Health Problems During Summers

    12 May 2022

    India experiences a hot and dry summer season that lasts for up to...
    Read more
    Does Medical Insurance Cover Hearing Aids?

    12 May 2022

    The number of people who require hearing aids continues to grow...
    Read more
    Are Accidental Injuries Covered by Health Insurance in India?

    12 May 2022

    Accidents are unpredictable. Getting injured in an accident not...
    Read more
    6 Most Effective Ways to Prevent Viral Fever

    12 May 2022

    A change in weather can bring respite from the scorching summer...
    Read more
    PMJAY Scheme: Ayushman Bharat Yojana Eligibility & Registration Online
    Prime Minister Shri Narendra Modi announced the launch of (PMJAY) Ayushman Bharat Yojana in his Independence...
    Read more
    Best Health Insurance Plans in India 2022
    Finding the best health insurance plan from so many different health insurance companies can get confusing for many...
    Read more
    Best Maternity Insurance Plans
    Maternity insurance offers comprehensive coverage for medical expenses incurred during pregnancy, including the cost...
    Read more
    Best Health Insurance Plans for Senior Citizens in 2022
    Considering the increase in medical inflation in India, buying adequate health insurance for your loved ones has...
    Read more
    10 Major Benefits of Ayushman Bharat Yojana
    Pradhan Mantri Jan Arogya Yojana (PM-JAY) is the second component under Ayushman Bharat Scheme. PM Narendra Modi...
    Read more
    Download the Policybazaar app
    to manage all your insurance needs.