It is often said that our health is our wealth. We take all possible measures to protect this wealth of ours, but we don’t know when a calamity might strike us, and we would end up in a hospital.
The Importance of Health Insurance
Medical expenses can be much more expensive than we expect. The good news is that we can safeguard ourselves and our family from these exorbitant medical expenses by getting our family and our health insured.
Health insurance provides financial aid for medical expenses when we are hospitalized. Given below are a few reasons why you should get yourself health insurance.
1] Covers Your Medical Expenses
The chief purpose of health insurance is to provide the best medical services to you without burning a hole in your pocket. Health insurance plans safeguard you from expensive medical expenses.
Hospitalization charges, domiciliary expenses, day-care procedures, ambulance charges, etc. are some of the medical costs covered by health insurance. You can thus, concentrate solely on convalescence without worrying about the high medical costs.
2] Coverage against Life-Threatening Diseases
Health insurance, nowadays, also provides coverage against life-threatening diseases, either as a stand-alone plan or as a rider. Such conditions include bone marrow transplant, stroke, loss of limbs, kidney failure, etc.
As soon as any critical illness is diagnosed, your health insurance will entitle you to get a lump sum amount of money which you might use for your medical and daily expenses or other financial obligations.
3] Provides Tax Benefits
Health insurance plans provide a deduction in the premiums that you pay towards your health care policy. Section 80D of the Income Tax Act, 1961, cites the eligibility of these tax deductions in the premiums. Individuals, under 60 years of age, are eligible to claim tax benefits of up to Rs. 25,000 on health care premiums for themselves, their spouse and children, dependent on them.
An additional tax benefit of up to Rs. 25,000 and Rs. 30,000 can also be claimed for non-senior citizen and senior citizen parents, respectively.
4] Cashless Claim Facility
Most of the health insurance providers offer cashless claim benefits. In such an arrangement, all your medical expenses will be settled between the hospital and your insurer. However, you’ll be able to avail this benefit, only if you’re admitted at one of the insurer’s network hospitals.
To enjoy the cashless facility, you’ll have to fill a pre-authorization form and show your health insurance card to the hospital authorities.
5] Additional Protection
If you are an employee working in a big organization, your employer has probably provided you with employer coverage. But you cannot rely too much on these policies. The employer coverage provided to you is a group insurance plan and thus, are not designed as per every individual’s needs.
Furthermore, loss of job or employment changes might leave you uninsured. Therefore, it is wise to get individual health insurance, too, to protect yourself in such situations. This will act as additional protection over and above the health cover provided by your employer.
6] Stress-Free Regular Check-Ups
Regular check-ups, including any out-of-the-ordinary services or hospitalization, can be expensive for you, without any health insurance. Getting health insurance, on the other hand, will cover all these charges, thereby reducing stress on your mind and pocket.
7] Protects your Savings
Since health insurance looks after a significant part of all of your medical expenses, you don’t have to worry about losing all your savings on paying the medical bills. You can, instead, use all that saved money for other unexpected emergencies.
8] Peace of Mind
Apart from all the monetary benefits, health insurance will prove to be peaceful for your mind. Unexpected medical emergencies and their financial burden can be extremely stressful for you and your family.
In such situations, having health insurance would provide you with the much-needed peace of mind. The health insurance will ensure that your medical expenses are taken care of to a certain extent, thereby, considerably decreasing your stress.
Nowadays, a number of health insurance plans are available in the market. Select the best plan for you and your family based on your personal requirements and do not miss out the chance to avail yourself of all the benefits mentioned above.
A condition that applies to the tax benefits described above: the Section 80D deduction for health insurance premiums can be claimed only if you file under the old tax regime. They are not available under the new regime, which is now the default — so check which regime you are on before counting on these benefits. Tax rules change at Budget; confirm the current position for your assessment year before acting on it.
1 Comment
Great information shared!