Health Insurance Costs and Role of Fitness Programs

• Written by Mudit Handa

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Amit, aged 35, works in an IT company in Bangalore and leads a sedentary lifestyle. Due to this lifestyle and stressful work environment, he has experienced weight gain and hypertension over the years. His annual health insurance premium has also increased with age and growing health risk. After a health scare, Amit decided to enrol in an employee wellness program that offered access to fitness applications, a gym membership for exercise routines, yoga, and wellness workshops. Over a year, Amit experienced improved well-being and reduced stress levels. As his health improved, he also observed a surprising change in the health insurance premium with the insurer rewarding him a discount on the premium one renewal.

Like Amit, can everyone leverage a fitness program to reduce health insurance costs? How exactly do fitness programs improve your physical health and financial health by influencing the health insurance cost? What is the link between wellness programs and health insurance costs? Let us learn more about it and explore how wellness programs are a win-win option for both the insured and the insurer.

Impact of Fitness Program on Your Well-Being

The fitness program is a well-curated plan suitable for your personal fitness goal. It generally includes a workout routine such as strength training, aerobics, yoga, gym, etc. It also includes access to fitness resources, nutritional guidance, events, fitness classes, and more, promoting physical and mental well-being. Here are some of the amazing health benefits of fitness programs:

• Wellness programs are designed to improve your physical health through exercises like cardio, strength training, flexibility, and core exercises. It improves your cardiovascular health, helps in weight management, improves bone density, metabolic health, and more.
• These programs also play a crucial role in improving your emotional and mental well-being. Activities like yoga and meditation help in reducing stress, insomnia, anxiety, and depression and also boost confidence and self-esteem.
• Fitness program helps prevent chronic diseases associated with lifestyle.
• It also improves your quality of life and boosts longevity.

What is the Relation between Fitness Program and Health Insurance Cost?

Health insurance premiums are calculated based on risk. Insurers evaluate various factors, including age, lifestyle, and health history to determine an individual’s likelihood of needing healthcare services. Individuals who are at higher risk of developing chronic diseases like heart disease or diabetes are more likely to incur higher healthcare costs or frequent health insurance claims resulting in increased health insurance premiums.

Many non-communicable and chronic illnesses are preventable through lifestyle changes. Medical conditions like hypertension, diabetes, cardiovascular diseases, cancers, etc. are the top causes of death and account for a significant portion of annual healthcare spending in India. Given this, health insurance companies incentivise to encourage healthier behaviours such as enrolling in fitness programs that can reduce the risk of such conditions. Fitness programs that promote weight management, physical activity, cardiovascular health, and mental well-being, play a major role in preventing these conditions.

>>Read More: What is the Role of Diet in HDL Management?

Impact of Fitness Programs on Health Insurance Premium

Here are some of the important ways in which wellness programs can influence health insurance costs:

Improved Physical and Mental Well-Being

One of the primary ways fitness programs impact insurance costs is by improving overall health. As per World Health Organisation (WHO), regular physical activity can lower the risk of diabetes by 17%, heart disease, and stroke by 19%, and certain cancers by 8 to 28%. Fitness programs help individuals manage weight, and lipid profile, and improve blood pressure, all of which lead to lowered health risk. For maintaining health, insurers may reduce the premiums as a reward to encourage you.

Increased Employee Productivity

Corporate wellness programs contribute to improved employee productivity. Healthier employees are less likely to fall sick, which reduces the rate of absenteeism. With improved overall company performance, a healthier workplace results in reduced cost of group health insurance premiums making it a win-win option for both employees and employers.

Personalised Health Monitoring

The rise of wearable fitness technology, such as Apple Watches and Fitbits, has made it easy for the insurance company to track your health metrics more accurately. You can also get customised health plans and rewards for maintaining a healthy lifestyle. For example, Care Health Insurance Company offers many key wellness features in its health insurance plan. One such feature is a digital wellness program that allows a mobile app to track your wellness activities and fitness. It synchronises with your Fitbit or an Apple watch to monitor continuously, allowing you to participate in challenges that can earn rewards.

Participation Incentives

Health insurance companies also offer incentives for participation in fitness programs. These incentives can come in the form of reduced health insurance premiums, subsidised gym memberships, or cash rewards.

Burn and Earn program offered in health insurance plans of Care Health Insurance Company is a classic example. In this, you can accumulate reward points by achieving your fitness goals such as completing 10,000 steps a day, participating in walkathons, cyclothons, or marathons, etc. These reward points can be used during policy renewal to reduce premiums or for medical or non-medical expenses during hospitalisation. You can also use the health insurance premium calculator, a valuable digital tool online to calculate the renewal premium.

In a Nutshell

To sum up, fitness programs play a multifaceted role in influencing health insurance costs with benefits extending to insured, insurers, and society at large. Participating in wellness programs can lower the health risk, reduce healthcare claims, and ultimately lower insurance premiums. Wellness features offered by insurance companies like digital wellness tools, personalised health data, monitoring, and wellness programs will continue to evolve with technological and healthcare advancements. Everyone needs to understand that the link between fitness and health insurance offers a path toward more affordable and sustainable healthcare.

Disclaimers:All plan features, benefits, coverage, and claims underwriting are subject to policy terms and conditions. Kindly refer to the brochure, sales prospectus, and policy documents carefully.