If you can afford it, you cannot justify staying uninsured for life, especially given the current scenario. Accidents and unforeseen illnesses can occur anywhere, anytime, and it is easy to stay prepared financially for such things.
The benefits of buying a life and health insurance should be obvious to anyone.Still,many don’t appreciate being financially covered for unforeseen events, until unfortunately, they go through one.
The current pandemic has made us all more vigilant, so much so that just the thought of going out to buy necessities scares us. The importance of getting a good, affordable medical cover should be evident now more than ever.
While it is true that we cannot prepare ourselves for all kinds of situations, but by getting insured for life, you safeguard your health. If something does go wrong, at least the financial needs of your family would be taken care of.
We will now enumerate the reasons why you should secure the best health insurance in India.
What are the different types of life and health insurance policies in India that you can invest in?
There are a bunch of life and health insurance policies available out there. But before selecting one, you should know which one suits your case the best.
Life insurance could be a Term Insurance plan, an Endowment policy, a ULIP (Unit Linked Insurance plan), a Retirement or pension plan, a Whole Life policy, a Child plan (for your child’s education and future), or a Money-back insurance plan (insured person gets monetary benefits for survival).
Similarly, you can buy a health cover in different forms, such as an individual or a family health insurance plan, a senior-citizen health plan, critical illness, and surgery cover, a maternity plan, or a personal accident insurance plan.
Many financing institutes now offer a combination of benefits from these individual covers, so you can go for a broad-spectrum plan if that’s what you prefer.
Benefits of getting a health insurance plan
The first and foremost benefit of getting an adequate health cover is the ability to undergo costly treatments without the worry of paying the bills out of your pocket.
Diseases do not discriminate amongst people; they infect people regardless of age, gender, and, most importantly, irrespective of the fact that the therapy can be afforded by the person or not!
Depending on the insurance plan purchased, you can get additional benefits such as:
- Tax benefits – under section 80D, the premium paid towards a health cover is totally tax-deductible
- No cash payment upon hospitalization – your insurance company handles all the expenses directly
- Free medical check-ups – some policies offer you the benefit of undergoing health check-ups
- No claim bonuses – these are associated with almost all sorts of insurances. Some companies offer bonuses if you haven’t claimed for a payout in a year
- Some plans also cover other costs such as transportation and room allotment charges
Insurance plans for life-threatening diseases
Normal health covers usually don’t account for unexpected terminal diseases and the cost of surgeries required for treating such illnesses.
This is where getting critical illness insurance plans comes in handy. The treatment for diseases such as paralysis, heart disorders, cancer, organ failure, etc. is pretty costly.
This insurance plan offers a fixed amount of payout to the insured individual for getting life-saving treatments.
Life-Insurance plans –why should you invest in one
The family of the insured individual gets a monetary reimbursement when the individual perishes unexpectedly. If the individual survives beyond the stipulated term, then there is no payout.
Some policies provide a cover for sudden illnesses and hospitalization costs, promote savings, and even offer you the option to take out a loan.
Depending upon the amount of premium you’re paying for a life insurance policy, you can also enjoy the benefits of tax saving (generally, 10 or 20% of the assured payout).
Some FAQs related to health insurance policies
Can some aspects of your life affect the amount of health insurance premium you are asked to pay?
Yes, majorly, your age and previous medical history are the deciding factors. It gets costlier as you age, as a rule. Bonuses can be offered for staying claim-free, which might bring down your premium in the long run.
Does a filed claim reduce your policy coverage?
Yes, the amount of a settled claim is reduced from the coverage provided for that year. You should choose a health insurance policy that gives you a coverage of at least five lakhs, as this can cover the coat of most minimal treatments.
Getting insured for life provides you a sort of financial security and the freedom to take on adverse situations with ease.
Therefore, many financial advisors believe that putting your money in other forms of financial growth schemes should come second to getting a life or medical cover.
Marina Pal is a renowned author and social media enthusiast.
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