Compare & Buy Car, Bike and Health Insurance Online - InsuranceDekho
Claim, renew, manage & moreLogin
  Hurry Up!
Save tax in 80D by purchasing a Health Insurance Today. View Plan

What Is The Main Purpose of Health Insurance?

Updated On Nov 03, 2021

Health insurance plans have extended usage in the day to day lives of the individuals. It comes packed with a set of features and benefits that can be availed in times of a medical emergency. Some of the common features that are available under a regular health insurance plan are pre and post hospitalization costs, organ donor expenses, medication costs, domiciliary expenses, room rents, ambulance charges, etc. These features are available for the policyholders after the waiting period of the plan and can be used after the claim settling procedure.

What Is The Main Purpose of Health Insurance?

What Is The Main Purpose of Health Insurance?

The main purpose of a health insurance policy is to offer monetary compensation to the policyholders at an affordable price in case of a medical emergency. It helps the people in overcoming the costs of hospitalization incurred in case of emergency treatments. The policyholders can invest in a suitable health insurance plan with affordable premium price and use it in case of a medical crisis. In this era of increased inflation, health insurance plans not only offer affordable treatments but also ensure quality treatment at the private hospitals without any restrictions.

Must Read: Health Insurance: Definition, Types, And Benefits Explained

Other Benefits of A Health Insurance Plan For The Policyholders

Following are some of the other purposes of having a health insurance policy for the policyholders:

1. Changing Lifestyle

Due to a major drift in the work environment and daily lifestyle due to global pandemic, a large proportion of individuals are suffering from life-threatening diseases, affecting their lungs, heart, kidneys, eyes, etc. After the age of 45 years, people are more prone to contract one of the numerous disorders, which might require immediate medical attention. During hospitalization, people end up spending a large sum of their financial savings thus exhausting their savings. You can overcome such a situation by investing in a suitable health insurance plan for yourself and your loved ones.

2. Quality Coverage

A health insurance plan offers extensive coverage and also ensures the policyholders quality treatment without worrying about the financial constraints. It pays for the room rents, ambulance costs, medication charges, hospitalization expenses, domiciliary expenses, and much more. If you seek hospitalization at the network hospital of the health insurance provider, then you can make cashless claims under which you do not have to pay a single penny from your pocket.

3. Coverage For Your Whole Family

Health insurance plans can be bought for multiple people at the same time. Family floater health insurance plans can cover your entire family under a single plan by ensuring equal distribution of coverage for all the family members insured under the purchased health insurance plan. You can cover yourself, your spouse, children, and dependent parents under the family floater plans. You can also include your in-laws and other family members by paying off extra premium amounts. This plan is cost-effective and covers all the family members under the same plan without any high costs of premiums.

4. Rising Inflation

Due to the spread of the global pandemic, the economy of the world has been disturbed resulting in the increase in inflation in different sectors, health sector being one of them. Due to this hike in inflation, the basic costs of treatments have also increased, thus burning a hole in the pockets of the people. To help the people overcome this situation, health insurance providers have rolled out a range of health insurance plans with different combinations of features to meet the requirements of the policyholders.


A health insurance policy is of great use to the policyholders, and therefore you must invest in a suitable plan for yourself as well as your loved ones. At the time of buying a plan, you must carefully go through its policy terms to avoid any inconvenience at the time of the claim settlement procedure.

Also Read: 5 Hidden Benefits of Health Insurance

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.

Health Insurance Coverage Calculator

Who do you want to insured ?

  • Individual
  • Couple
  • Family
  • Parents

Age of eldest insured member ?

Where do you live ?

Disclaimer : Actual Coverage might vary basis your location, age and number of members
Must BuyMust Buy

Why to Buy Health Insurance Policy Online from InsuranceDekho

  • Tax benefit upto 75,000*
  • Claim support everyday 10AM-7PM
  • 50 Lacs+ happy customers