Why online health insurance is often cheaper
Buying health insurance directly from an insurer’s website or through online aggregators usually costs less. Insurers save on distribution costs when they sell directly. There are fewer commissions, less paperwork and faster underwriting. Online platforms also encourage price transparency and competition, which pushes premiums down.
For many simple policies — single-person cover, standard sum insured amounts, few add-ons — the online route is fast and economical. If you’re comfortable comparing plans yourself and don’t need personalized guidance, digital purchasing can deliver real savings.
What intermediaries add beyond price
Even though online policies are cheaper, intermediaries such as agents and brokers still play an important role. Their main value is not in lowering the premium but in making sure the policy actually works when you need it.
- Personalised advice: An intermediary helps match your needs to the right product. They can explain differences in coverage, exclusions, copay clauses, waiting periods and add-on riders in plain language.
- Claims support: Filing a claim can be confusing and time sensitive. Intermediaries assist with documentation, submission and follow-up. They can liaise with the insurer and hospitals on your behalf.
- Complex cases: For families, seniors, people with pre-existing conditions or high-value policies, an intermediary can suggest tailored options and negotiate features that online filters might miss.
- Policy servicing: They handle renewals, porting policies, endorsements, and updates in coverage. That ongoing support saves time and reduces mistakes.
- Human trust factor: Many customers prefer a person to call at 2 am during an emergency rather than relying on automated chatbots or email support.
When the online option makes sense
Consider buying directly online if:
- You are price-sensitive and have straightforward coverage needs.
- You are comfortable reading policy documents and comparing features.
- You want a quick purchase and minimal paperwork.
- You don’t anticipate complex claims or special underwriting requirements.
When an intermediary is worth the extra cost
Opt for an intermediary if:
- Your family’s needs are complex — multiple dependents, older adults, chronic conditions.
- You value help during claims and prefer someone to manage the process for you.
- You need bespoke advice on network hospitals, cashless facilities, or high-sum covers.
- You want ongoing policy management and reminders for renewals or porting.
How to choose the right intermediary
Not all agents and brokers deliver the same level of service. Use these checks before committing:
- Verify credentials: Check licenses and registrations required in your jurisdiction.
- Ask about experience: How long have they handled health insurance and claims?
- Request references: Speak to existing clients about claims experiences and responsiveness.
- Clarify fees and commissions: Understand whether the intermediary’s advice is independent or tied to certain insurers.
- Evaluate communication: Do they provide clear documentation and a committed contact for emergencies?
Practical tips to balance cost and service
- Compare at least three plans online to understand market pricing before consulting an intermediary.
- If you buy online, keep a checklist of claim documents and an emergency contact list for hospitals.
- Consider hybrid approaches: use online tools for basic comparison and an intermediary for final selection or claims assistance.
- Check claim settlement ratios, network hospitals and policy wordings, not just premiums.
- Negotiate service terms with intermediaries — some offer fixed-fee service packages for renewals and claims support.
Claims checklist for faster processing
- Keep a copy of the policy and policy number readily available.
- Collect hospital discharge summaries, bills, diagnostic reports and prescriptions.
- Inform the insurer or intermediary as early as possible — some benefits need prior approval.
- Follow up regularly and keep records of all communications.
Final thought
Cheaper online health insurance is attractive, especially for simple needs and cost-conscious buyers. But price is only one part of the decision. Intermediaries justify their cost when they prevent mistakes, speed up claims and tailor coverage to complex situations. Matching your choice to your comfort with digital tools, the complexity of your needs and how much support you want during a claim will help you get the best balance of price and protection.