Importance Of A Health Insurance Policy: Reasons To Buy It
- IWB Post
- November 1, 2022
No matter how sizeable your savings fund is, you’re one hospital bill away to exhaust it. All thanks to the rising medical costs and health emergencies that we stumble on to.
Health is wealth. One can come across various health issues regardless of how fit they are. That’s why buying health insurance has become a significant purchase even if you have dependable savings at your disposal.
Health insurance aims to provide you with a financial cushion against any health emergencies. It typically covers a part or whole of your medical expenses, depending upon the insurer and the type of insurance you have chosen. The plan provides coverage for illnesses, accidents, or disabilities. A health insurance policy is a contract between the insurance provider and the policyholder. It is renewed either monthly or annually; in the case of private insurance, it is lifetime renewable.
The policyholder pays a premium to the insurance company and in return, they pay for the medical expenses incurred like hospitalisation, daycare, surgical expenses, etc.
Importance of Buying Health Insurance
As we all know, life is pretty unpredictable and comes without any assurance; thus, to overcome any sort of uncertainty, one must have a health insurance policy. These insurance policies are customised and promise you a feasible and reasonable health treatment, everything from a consultation to surgery.
Let’s take a look at why you need to buy health insurance as soon as possible:
Medical Expenses and Emergency Care
Health insurance policies cover expenses incurred due to health issues, illness, and injuries. Expenses such as room rent, boarding charges, operation charges, intensive care unit, nursing fees, pharmacy bills, lab test charges, etc., are all covered under these policies. The exact cover may vary from plan to plan depending on its terms and conditions. Some policies might cover all expenses, whereas others might have limits. All of that depends on what policy any individual has chosen.
Pre and Post-Hospitalization Costs
These policies cover medical expenses incurred before the hospitalisation and also after the hospitalisation. However, some policies may restrict the number of days. For instance, some provide coverage of 30 days, whereas others provide coverage of 60 days before hospitalisation.
Medical treatments today are not easy to bear. The expense is enormous and sometimes can be difficult to incur in rough times. Thus, to overcome any such situation, health insurance policies play a crucial role. Having an insurance policy protects our savings from getting drained due to expensive medical treatments. Medical situations may call upon unexpectedly, and because of this budget management can become very expensive. To avoid any such circumstances having a health insurance policy can be helpful since it will save you from huge bills at a single point in time, thus keeping your savings safe and sound.
Apart from pre- and post-hospitalization, many other advantages come when you have an insurance policy. Daycare surgery, ambulance health check-ups, vaccination costs, maternity benefits, etc., come under the privilege of having a health insurance policy. Policies that are specially designed for senior citizens and policies that specifically cover specific diseases and terminal illnesses are also available.
In a nutshell, you must calculate and understand the benefits offered by the policies, compare and then choose the right plan to fulfill your health insurance needs. With the ease of technology, it is easy to go and check online what these policies have got in for you.
If protecting your savings is your goal, health insurance is a must-have product. You can also consider investing in an endowment policy to grow your savings to meet your financial goals.