Why Is Health Insurance Important?

Health insurance policy is a commitment between the insurer and the policyholder abiding to which the insurer compensates for the customers’ medical expenses at the time of medical emergency. A health insurance policy provides its customers with financial support to avoid financial strain and it comes with several benefits like hospitalization costs, tax deduction, room rents, ambulance charges, lifetime renewability of services, and a lot more. You can customize your policy according to your requirements and can also invest in additional covers to enhance the value of the base health insurance cover. 

The global pandemic has made people realise the importance of having a health insurance policy as it ensures its policyholders quality treatment in private hospitals without worrying about the money. The insurance providers have rolled out different types of health insurance covers to cater the needs of all the groups in a society. The comprehensiveness and affordability of the policy ensures wide coverage to the policyholders. The online services have eased the process of buying, renewing, and comparing health insurance policies thus, making it smooth and hassle free for the customers to buy or renew their policy covers. 

About Health Insurance Plans 

Health insurance plans look after the medical expenses of an individual at the time of hospitalization in case of an emergency. The inclusions and exclusions of the policy cover can differ from one insurer to the other. The affordability of the health insurance plans depends on the medical history, sum assured, deductibles, age of the applicant, etc. There are several types of health insurance policies in the market to cover the demands of different groups of people like individual plans, family floater plans, maternity benefit covers, critical illness plans, and much more. Policyholders also get tax deduction benefits on their premium payments of the cover under Section 80D of the Income Tax Act. 

Benefits of Having A Health Insurance Plan 

Let us look at some of the standard benefits that can be availed by the customers after the purchase of a health insurance policy: 

• Customers can avail cashless claim treatments at the network hospital of the insurer which makes the claim settlement process quick and hassle-free for the policyholders.
• The health insurance policies cover pre and post-hospitalization expenses for around 60 days depending on the insurer. It also includes other expenses like domiciliary expenses, inpatient costs, daycare procedures, etc. 
• Some insurers also offer emergency ambulance charges of a certain amount determined by the insurance provider. 
• Policyholders get no claim bonus (NCB) benefit under which they enjoy a certain amount as bonus for not claiming their health insurance cover in a policy year in the tenure. 
• The customers also get access to free health care check ups in private hospitals. The terms and conditions of the checkup are specified by the insurer. 
• Room rents are also provided to the policyholders under their purchased health insurance cover, which ensures the quality treatment at the time of hospitalization. 
• Tax deduction benefits are also applicable for the policyholders under the Section 80D of the Income Tax Act. 

Importance of Having A Health Insurance Cover

Following is the list of key points that signify the importance of having a health insurance policy:

• With the growing uncertainties in life, it is important to have a financial backup to look after your medical expenses at the time of an emergency without draining your savings. 
• The inflation in the health sector has increased rapidly over the past few years, and therefore affordable health insurance plans are worthy of your investment. 
• You can save taxes up to Rs. 50,000 depending on the age and number of members insured in a family. Under Section 80D of the Income Tax Act, you can get tax deduction on your premium payments. 
• There is a sea of health insurance policies in the insurance market and you can choose the one that is suitable for you after conducting ample amount of research. 
• The change in lifestyle of the people and the changes in environment have made people more vulnerable to contract life-threatening diseases. Thus, it is important to secure your life along with your loved one. 

Conclusion 

You must invest in a health insurance cover as early as possible to get affordable health insurance plans for yourself. You must carefully go through the fine print of the policy-related documents to avoid any confusion or inconvenience at the time of claim settlement process. 

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Importance of Health Insurance in India

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.