Health insurance: Top 5 reasons to buy a medical insurance policy

Health insurance or medical insurance is one financial planning feature that we ignore at the beginning of our career. To our peril. Many go on to buy a health plan just to save income tax. This is despite the fact that all of us know that health is indeed, wealth. So, due to the lack of focus on what kind of medical insurance policy one is going to have in one's kitty, it has been found that people take some health insurance plans which they in actually don't need or they take a medical insurance plan which is of great use but they don't pay attention to the benefits of the health insurance plan as they opt for it because they were looking for an avenue to save their hard earned money from the clutches of the taxman. 

Putting strong views forward on the nature of such health insurance policyholders, Anika Agarwal, Senior Vice President and Head Marketing, Digital and Direct Sales, Max Bupa Health Insurance told Zee Business online that most of us make plans in advance to buy a house, jewelry, or a foreign education for our child or for ourselves because we consider these things as important investments. However, what most of us overlook is to ensure our lives through health insurance remain secured. "Getting covered early could be the smartest investment one can make," added Agarwal.

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Hence, let’s have a look at why it’s important to push for health insurance in the early phase of life. Agarwal espoused the following 5 reasons that should push the youths to opt for a comprehensive health plan:

1] Health insurance is important and necessary: According to the British agency Health Foundation study, millennials will be the first generation to have worse health problems than their parents when they reach middle age. Due to this, millennials will certainly need medical intervention much earlier and in fact more often than what their parents needed years ago. This situation has undeniably made health insurance a necessity rather than just being an option for the young Indian population. 

2] Buzz in lifestyle diseases: With late night work and constant pressure, there has been an increase in younger patients coming in with a range of lifestyle diseases – from diabetes to heart disease. Hence acting smart by investing early in health insurance will help avoid eroding one’s savings later. 

3] Early bird saves most: The younger a person is, the more affordable insurance is. Most of the health insurers today offer benefits that encourage early enrolment. This also comes in handy while tax planning as one can claim tax deductions on premiums under section 80D. 

4] Demand-buy sync: Health insurance has traditionally been associated with hospitalization. However, lately, it has been observed that young customers want preventive health check-ups, wellness and fitness features in a health plan. Health insurance should also be super useful, covering annual check-ups, OPD visits to the dentist or ophthalmologist, or even assigning a health coach to meet one’s fitness goals. Hence, health insurance companies are now customizing their products including such features making them more customer friendly.

5] It's time that matters: Health insurance coverage may require a certain waiting period before one can start using it. Getting a cover while a person is healthy and does not need it right away, ensures that the health coverage is well utilized when the need arises.

On why one needs a health insurance SEBI registered tax and investment expert Jitendra Solanki said, "An individual has two options — either pay a humongous amount at one time or pay a paltry premium to minimize the loss awaiting her or him in future." 

So, the choice is completely your's.