In the wake of the global pandemic outbreak, more people are getting aware of the health and safety of their loved ones and themselves. Life has become unpredictable as the second wave of COVID drove people of all ages to the hospitals, and innumerable people were left stranded without sufficient medical care and supplies. It has made people realise the importance of health insurance and thus, diverted the majority of the population to get health insurance, particularly comprehensive health insurance policies.
A health insurance policy provides the insured with a much-needed financial backup in response to uncertain health risks. The service provider reimburses the medical expenses incurred due to illness or injury, or it can pay the cost to the medical centre directly. An insurance plan can be individual medical insurance, health group insurance, critical illness insurance plan, or any other type of health insurance plan.
At present, medical insurance is more crucial than ever as medical costs are high and can be unexpected, lives are insecure, and businesses/jobs are not profitable/secure like before.
Among numerous benefits of buying a health insurance policy, the following are major cost benefits:
- Affordable premiums
The cost of healthcare services in India has dramatically risen. Health insurance protects you against high medical costs and covers pre/post hospitalisation expenses, daycare procedures, homecare expenses, OPD expenses, diagnosis test costs, ambulance charges, consultation fees, room charges, operation theatre costs, medicines costs, and many others. All of these together can put a strain on your finances without a health insurance plan. You can pay annual premiums to stay ahead of these costs.
To reduce the premium cost, you can:
- Combine your basic indemnity plan with a booster plan.
- Find an insurance provider offering a family discount on group health insurance.
- Avail of no-claim, cumulative discounts.
- Keeps your savings safe
Since the cost of medical treatments is ever-increasing, an accident or sudden illness can dig deep into your hard-earned savings. Those savings may be critical for other financial goals rattling all your financial plans.
There is almost no need to divert your savings to healthcare with a health insurance policy. By paying an affordable premium towards your health insurance, you can have timely and adequate funds for quality treatment. Continue to add to your savings and provide the best treatment to your loved ones under health insurance coverage.
- Coverage against critical illnesses to save on treatment costs
The main objective of getting a medical insurance policy is to receive the best medical care, especially when it is a life-threatening disease, without any strain on your financial position. You can buy critical illness insurance as a standalone plan or as a rider against critical medical ailments like kidney failure, bone marrow cancer, loss of limbs, etc. Upon diagnosis, the lump-sum amount received by an insured can be spent to meet any financial obligations, treatment costs, or even day-to-day expenses. Thus, the insured can focus on speedy recovery instead of worrying about high diagnosis costs.
- No out-of-pocket expenses with cashless claim benefits
With most health insurance providers, the insured gets a cashless claim facility. You need not make any out-of-pocket payments. The hospitalisation expenses are settled between the insurance company and the hospital. Therefore, while deciding on a health insurance plan, look at the hospital network of the insurance company.
- Income tax benefits
When you pay health insurance premiums, you can save on taxes. Insurance premiums are eligible for tax deductions under section 80D, Income Tax Act, 1961 in India. An insured under 60 years of age can claim deductions of a maximum threshold of Rs. 25,000. It is available for family members (spouse and kids) also. When you pay a health insurance premium for your parents who fall under the senior citizen category, you are eligible to claim another deduction of up to Rs. 50,000.
- Stay debt-free
Unforeseen medical expenses can land you in a soup. If you have to pay these hefty health care expenses out of your pocket, you may have to take enormous debts for it. Medical insurance from a reputed and reliable health insurance provider can be a saving grace in your tough times and save you from the vicious debt trap.
- Quality treatment
Getting insured with a well-known health insurance provider will enable you to access the wide range of network hospitals that your insurer has a tie-up with. You can get the best possible medical care and treatment available from expert doctors without having to spend, which may be out of reach and way too expensive without the assistance of health insurance cover.
- Preventive care
You can undertake regular health checkups without paying bills for them. Such preventive care can save you and your family from grave illnesses that may go unnoticed due to the lack of early detection.
Thus, considering these advantages and your requirements, you can compare the different policies of various health insurance providers and select the best plan.
