Health Insurance: Weighing Risks of Reducing Base Sum Insured

Imagine your health insurance is like a safety net.

The amount the insurance covers is called the 'base sum insured.'

Sometimes people think about lowering this amount to pay less.

This article explains why that might not be the best idea.

If you lower the base amount, the bonus the insurance company gives you for not getting sick can also go down.

You might not save much money overall, and you'll have less protection.

It's usually better to have a good base coverage and maybe a top-up plan, which is like an extra layer of the safety net.

If your premiums are too high, you could try a different plan or switch insurance companies, but think carefully before cutting back on your main coverage.