Life is unpredictable. Anyone can fall prey to serious illness at any stage of life. Medical insurance will help you in such times of personal and financial crisis. When you are in the hospital, sick or worried about a family member, at least you will not have to deal with the financial worry – it will be taken care of by your insurance coverage.
What is medical insurance? It is a contract between the insurance policy issuer and an individual. To put it in simple terms, it gives you financial protection against future medical expenditure.
The main purpose of having a medical insurance is that you don’t need to spend your hard earned savings when a medical emergency arises, and that you have the financial buffer to tide over such unexpected and financially draining situations.
What Does Medical Insurance Cover?
Of course, each policy is different, but typically a good medical insurance policy will cover hospitalization and treatment expenses, subject to terms and conditions.
Keep in mind that a medical insurance policy does not always cover every possible medical expense that you might encounter in the future. A medical insurance plan comes with its set of terms and conditions.
When should I buy a Medical Insurance Plan?
In one word – now. The longer you wait, and the older you become, the more expensive it will be to buy medical insurance. You will also have to undergo more qualifying medical tests. It is much cheaper to sign up for a plan when you are young and healthy.
The general consensus among the youth is that they won’t need any insurance plan, since they are young and healthy, but postponing the decision could prove to be very expensive in the long run. You will save much more in premium payments if you buy medical coverage when you are young, and in good physical condition. The ideal time would be when you first start a career. The older you are, the higher the premium. So plan ahead.
Benefits of having a medical insurance policy
Listed below are some of the benefits of having a medical insurance policy:
• Assured payments for medical and hospitalization bills (depending on the premium)
• Saves future financial losses due to costly medical treatment
• Sense of security – financial and mental.
• Eligible for tax exemption under Indian Income Tax Act's Section 80D
• Policies can even be availed even after crossing 60 years of age
More and more people are opting to buy medical insurance in India because of the steep rise in medical costs and hospital stays. Treatment for a major illness like cancer or heart disease can run into several lakhs of rupees and can consume a large part of your savings, or worse, leave you in debt. Buying a medical policy from a reputed insurance company helps you plan ahead and set aside a budget for such unexpected and potentially heavy expenditure in the future.