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Why is it necessary for you to get Health Insurance?

05 Apr 2022 0 COMMENT

Introduction

You have probably heard people talking about health insurance around you. But you might feel like you don't need it given that you are young and healthy at the moment. But then again, that's the thing about life. Medical emergencies, illnesses or accidents often come unannounced, so no matter how young or healthy one is at the moment, the next minute could be quite different. In the face of a medical emergency, healthcare can be costly. Various costs can rise quickly from surgeries, prescription drugs, emergency care, and more.

But with health insurance, you do not face those costs as an individual. Rather, the insurance plan helps cover your expenses and ease the burden of medical payments. After all, you do not want to worry about paying medical bills if you have to deal with illness, injury or rush to the emergency room.

Importance of a Health Insurance Policy

Let’s look at some of the important reasons why you must buy Health Insurance today.

A Wholesome Health Cover

You may argue that you already have a health cover from your employer’s policy. But, how extensive is that cover? Usually, group policies that cover employees may only offer basic health coverage. Such a policy not be adequate if you experience a medical condition not covered by the policy. Hence, you must check the inclusions and exclusions of your employer’s policy. If the coverage seems insufficient, buy an individual comprehensive policy.

Additional Read: When is the Right Time to Buy Health Insurance?

Tax Benefits

To encourage people to purchase health insurance, the government provides tax deductions. You can claim a tax deduction from your total income for the health insurance premium you pay in any given year under Section 80D of the Income Tax Act. You can also avail of this deduction for critical illness plans and top up health policies. The tax deductions claimed for your health insurance is over and above what you may claim under Section 80C of the Income Tax Act. Click here, to read in detail about the tax benefits that you can enjoy on purchasing a health insurance policy.

Combat Rising Prices for Medical Facilities

Adequate financial protection from your health insurance policy helps cover medical costs in the event of a critical accident or sickness. Without health coverage, you could be exposed to high unexpected medical expenses. In addition, you can benefit from cashless treatment, pre-and post-hospitalisation cost coverage, transportation costs, No Claim Bonus, annual medical check-ups, room rent, tax benefits and more.

Additional Read: What is Life Insurance? What are its Coverages?

Save your Savings

You may have set aside investments to buy a new house, fund your child’s higher education, an annual vacation, or a relaxed retirement for you and your spouse. However, the absence of a health insurance policy could threaten your investments to pay for unexpected medical emergencies and related expenses. To avoid such unpleasant situations, buy a health insurance policy covering you and your loved ones. Planned premium payment is a small cost to bear but, it will ensure that your life goals do not derail.

Provide Best Healthcare for your Family

In India, health insurance policies come in two types - individual health coverage and family health insurance, also known as family floater plans. A family floater policy can help cover all members of your family under a single plan. That means you do not need to purchase individual or multiple insurance plans for every member. Under a family floater health insurance plan, all family members can be covered by paying a single premium. If there are several claims in a year, the sum assured is split amongst the family members. Buying a family floater policy is beneficial if you have more than two members of your family. It is cost-effective and allows you to cover your loved ones under a single premium.

Additional Read: An Overview of Parents Health Insurance in India

Conclusion

It's essential to make the right financial decision ahead of time by purchasing health insurance before you fall ill. Having health insurance will make it easier to access, find and pay for preventive and routine healthcare. Regular scans, screens, blood tests and lab work, vaccinations and annual check-ups play critical roles in keeping you healthy and diagnosing illnesses before they can create havoc. Besides, health insurance can also help cover the costs of chronic conditions and make it easier to stay healthy.  

Disclaimer – ICICI Securities Ltd. ( I-Sec). Registered office of I-Sec is at ICICI Securities Ltd. - ICICI Venture House, Appasaheb Marathe Marg, Prabhadevi, Mumbai - 400 025, India, Tel No : 022 - 6807 7100. I-Sec acts as a Composite Corporate agent having registration number –CA0113. Please note, Insurance related services are not Exchange traded products and I-Sec is acting as a corporate agent to solicit these products. All disputes with respect to the distribution activity, would not have access to Exchange investor redressal forum or Arbitration mechanism. The contents herein above shall not be considered as an invitation or persuasion to trade or invest.  I-Sec and affiliates accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon. Investments in securities market are subject to market risks, read all the related documents carefully before investing. Insurance is the subject matter of the solicitation. The advertisement contains only an indication of the cover offered. For more details on risk factors, terms, conditions and exclusions, please read the sales brochure carefully before concluding a sale. The contents herein mentioned are solely for informational and educational purpose.