Health Insurance Benefits

The Covid-19 pandemic has underlined the importance of our health and wellbeing. Let us always remember that medical emergencies come unannounced. If we are unprepared, the consequences can be grievous. The financial trauma of hospitalisation due to illness, or after meeting with an accident, can last longer than what you expect. Also, quality medical treatment comes at a cost. Health insurance, therefore, is a must.

Health insurance is an agreement wherein the insurance company agrees to compensate for the medical expenses incurred by you due to an illness or after meeting with an accident. Benefits of a health insurance policy are many. Let us take a look at them in detail.

Provides comprehensive coverage

With an adequate health insurance plan, you can avail of the best possible medical treatment without bothering about the expenses. Most insurance companies offer cashless policies, doing away with the reimbursement process. The health policy covers both pre and post hospitalisation expenses. A good health insurance plan also provides for ambulance expenses, day care expenses and the cost of medical tests. Thus, a health insurance plan not only covers the cost of medical expenses arising out of hospitalisation but also can provide an extensive coverage.

Offers Cashless treatment

One of the top health insurance benefits is the cashless treatment the insurer offers in its network of hospitals. Insurance companies offer cashless treatment at hospitals which are a part of its network. This means you do not need to pay the hospital for your treatment. Cashless services ensure that the insured get quality treatment and medication.

Offers the facility of portability

The portability facility allows you to change your insurance services provider. In other words, it allows you to transfer the health policy you bought from an insurance company to another insurer. If you find better options or you are not satisfied with the present insurance service provider, you can transfer the policy to a different company.

Proves financial security

From an array of health insurance policy options, you can choose the suitable one for you that gives comprehensive coverage. In other words, you have the flexibility to opt for a policy that covers pre and post hospitalisation expenses and the cost of diagnosis tests. In short, a health insurance policycan give you complete financial protection.

Tax benefits

One of the major benefits of having health insuranc is the tax incentive it offers under Section 80D of the Income Tax Act, 1961. The premium paid up to Rs. 25,000 for the health cover of self, spouse, and children are deductible from your taxable income. You get an additional deduction of Rs. 25,000 if you are paying the premium for your parents aged below 60. If your parents are senior citizens, the deduction from taxable income is Rs. 50,000.

Allows lifetime renewability

Most health insurance policies allow you to renew a policy without any upper restriction or age limit. This is a great convenience for senior citizens. This medical insurance benefit takes off the financial pressure on senior citizens.

No-claim bonus

Insurance companies reward you for staying healthy and not making a claim. It is known as a No Claim Bonus (NCB). It is applicable to individual health insurance plans and family floater plans. The NCB will reduce the amount of premium payable by you to insurance companies when you renew the policy.

Covers the entire family in one plan

You do not need to buy separate plans for each member of your family. You can cover the entire family under one plan and pay a single premium for it. Also, you need to renew only one policy for the entire family, making it a hassle-free process.

Free health check-up

Many insurance providers offer free health check-ups after a specific number of claim-free years. This will ensure that any illness or disease is identified well in time and can be handled appropriately. A lot of us do not take the initiative to get a health check-up. With an insurance plan, you can enjoy a cashless check-up and take charge of your health.

Coverage for critical illnesses

A health insurance policy works like an umbrella on a rainy day, and it will provide comprehensive coverage in case of critical illnesses. A critical illness can burn a dent in your finances and could also keep you out of work for some time. Many insurance companies offer compensation at the time of diagnosis of a critical illness. You can also consider buying riders for critical illnesses to ensure optimal coverage. There are several riders you can choose from. They offer additional coverage but at a cost.

Easy to buy and renew

You do not need to follow a tedious and stressful procedure to purchase a policy. With advances in technology, it has become easy and hassle-free to compare options, find the right policy for you and make the purchase. You can do the entire process from the comfort of your home. The process of renewal is also quick and convenient. It will not take you more than a few minutes to renew the policy. Additionally, if you purchase the policy at a young age, you will be able to enjoy a low premium amount and you may not have to undergo a medical test.

The importance of health insurance cannot be overemphasised. With the right insurance policy, you can live a stress-free life.

Whether you are looking for a policy for yourself and your spouse or one for the entire family, you will be able to find the right plan if you research well. If you purchase the policy at a young age, it will work to your advantage, and you will be able to enjoy comprehensive coverage at low costs. There is no right time or age to buy the policy. However, the sooner you do, the better it is. Choose a plan keeping your health and financial requirements in mind. Compare the quotes and then make a buying decision.

Disclaimer: The above information is indicative in nature. For more details on the risk factor, terms and conditions, please refer to the Sales Brochure and Policy Wordings carefully before concluding a sale.