Reasons Why Health Insurance Is Essential?
Published On Feb 16, 2022
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Health insurance is a must-have for everyone in India, given the rising medical costs and rise in lifestyle problems. A medical emergency may happen to anybody, at any time, and it can be devastating emotionally and financially. It is impossible for a person to plan for disease, but it is possible to plan for financial difficulty. Purchasing health insurance is one method to be financially stable for unforeseeable health risks.
Health insurance can pay the care provider immediately or compensate the insured for expenditures incurred as a result of illness or accident. Individual health insurance, family health insurance, critical illness insurance, and other forms of health insurance programmes are available. Buying health insurance is an important aspect of any financial strategy. To know more about why health insurance is essential, read on.
What Are Some Major Reasons For A Person Getting Health Insurance?
Following are some of the major reasons for a person getting health insurance are as follows -
1. Changing Lifestyles - Health insurance coverage is beneficial for a variety of reasons. The tectonic shift in our manner of living has made us more susceptible to a wide range of health issues. Commuting, demanding work schedules, poor eating habits, food quality, and rising pollution levels have all contributed to an increased chance of developing health problems.
2. Medical expenditures are on the rise - Medical prices have grown considerably in recent years. As a result, in the event of a medical emergency, consumers are forced to spend their funds, jeopardising their future goals. According to reports, whenever it comes to dealing with health issues, Indians rely mostly on their own funds.
3. Benefits from income taxes - Tax deductions are available for payments made for health insurance premiums under section 80D of the Indian Income Tax Act. Individuals under the age of 60 can deduct up to 25,000 for health insurance premiums paid for themselves, their spouse, or their children. If you buy health insurance for your parents who are 60 years or older, you may deduct an additional 50,000.
4. Pre- and post-hospitalisation fees are covered - Not only have medical expenditures increased in recent years, but so have the costs of OPD (out-patient department) charges and diagnostic tests. Hence, it is even more critical to have health insurance coverage. It is worth noting that medical insurance covers not only the costs of hospitalisation but also the costs of outpatient care and diagnostic testing before and beyond the policy's specified time period.
5. Additional advantages - Health insurance also provides advantages such as ambulance coverage, coverage for day-care procedures, coverage for health check-ups, and coverage for vaccine costs. Ayush therapy is now covered by health insurance by several insurance providers.
When is the Most Appropriate Time to Purchase Health Insurance?
The topic of when is the ideal time to buy health insurance is one that many people have. However, if one purchases health insurance coverage at a young age, the cost of the policy will be lower. The cost of health insurance coverage rises as one gets older since the risk connected with it rises. Health insurance premiums are decided by the insured's age, medical history, city of residence, and other factors. As a consequence, buying a health insurance plan early could save you money on premiums.
When purchasing health insurance, it is also recommended that you get critical illness insurance. A critical illness policy is a type of insurance that promises to pay you a certain amount if you are detected with a critical illness that the policy covers. You can get critical illness coverage as a stand-alone policy or as a rider when purchasing conventional health insurance. In the event that you are afflicted with a serious disease, critical illness insurance might be a very useful supplement to your standard health insurance. While you can use your usual individual or family health insurance that covers your hospitalisation costs, the lump sum payment from the critical illness cover can be used to cover additional critical illness-related expenses.
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.