As one of the safest and most cost-effective ways of protecting finances, Health insurance has become a must-have. Getting Health Insurance has emerged as an important goal among the youth in India. Young people in the nation are identifying its value and understanding that it requires careful thinking while purchasing. It has led to a surge in inquiry and research about health insurance and its various types.
Due to an exponential rise in quality healthcare expenses, it has become compulsory for everyone to have health insurance. The youth of today can resonate with how health insurance manages those unexpected financial burdens that arise out of accidental hospitalization or illness. But besides the ever-rising medical expenses, there are several other reasons for buying health insurance early in life. As Indian health insurance forges a connection with its youth, we focus on the key points that vitalize getting a health policy early in life:
It may come as a surprise to some but it is true, the premium we pay is directly proportional to our age. Similarly, in health insurance, premiums are much lower at early ages than they are later in life. Due to a high rate of immunity, young people are less likely to fall. Hence insurance companies offer health insurance plans at a lower premium, considering the low-risk appetite. As a matter of fact, the premium that you pay for in your 30s will cost you double in your 50s.
It’s quite difficult to avail health insurance with existing health issues. This mostly happens during the descent of a person’s life, as diseases knock at the threshold of old age. Even if you can get insured now, the higher premium cost is sure to burn a hole in your pocket. Simultaneously, if you don’t disclose your ailments at the time of buying and claim for a complication arising out of such illness, your claim will get rejected by default. So as a young individual you’re more likely to be free of chronic diseases and availing health insurance is easy.
Section 80D of the Income Tax Act(1961) profits the insured with tax benefits for paying the health insurance premium. Hence by getting health insurance at an early age, you can enjoy tax benefits for a longer period as compared to a person who bought it later in life.
Health insurance comes with an initial waiting period of about 30 days and a pre-existing illness waiting period of 2-4 years. These periods may vary from one insurer to the other. As youth is a time of vigour and vitality and you are hale and hearty for the most part, an insurance claim is rare. This way you can serve the waiting period easily and file your insurance without a hassle in your later years.
Health insurance comes with a string of bonuses along the way. One such bonus is the "No Claim Bonus". It is offered for not claiming your insurance and ranges from 20% to 50%. The No Claim Bonus is offered as a discount in the premiums of consecutive years, or as a hike in the sum insured. When you are young there are fewer chances of claiming insurance and you can earn a maximum NCB bonus. In this way, you can make the best out of your health insurance policy while availing bonuses.
Soaring medical costs have heightened the value of owning health insurance. The market is filled with a variety of health insurance plans to cater to different insurance needs. However, it requires thorough research of the market before zeroing down on a plan that fits your needs. All you need to do is be proactive and careful during your research. Remember, "The Beginning is the most important part of the work".
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