Health Insurance: Secure Your Tomorrow Now
May 29, 2019
A health insurance plan provides comprehensive cover to secure you and your family in case of unforeseen expenses that arise due to hospitalisation. With medical expenses constantly on the rise and the unpredictable nature medical emergencies, an adequate medical cover will help you to manage the expenses and prevent any financial setback.
There is no hard and fast rule of determining the amount of health insurance cover you should take. However, factors such as current health status, life stage, medical inflation, cost and standard of living, family dependency, income and lifestyle should be considered in deciding the sum assured.
The ability to pay premium is an important factor as the premium is directly proportionate to the sum assured value. For a higher cover, the premium would be higher. Hence if you are facing a cash crunch, it would be advisable to take a policy with a smaller cover and gradually increase the coverage amount as and when it becomes affordable for you.
A health insurance plan should be bought keeping in mind the future. Medical inflation is on the rise and the treatment cost can increase over time. Based on your preferences such as ideal choice of hospital, you can estimate your potential healthcare costs and form the basis of your decision.
At a young age, you do not generally need a big cover but can gradually increase the cover by 10-15% every year. If you are taking a floater option, then you should keep in mind your family’s age, health and lifestyle as well. Lifestyle factors such as stress, diet, exercise also influence your cover amount. If you are not able to maintain a healthy lifestyle, you should go for a higher cover. If you have any family history of any diseases, it would make you a high-risk individual and so it would be safer to insure yourself with a higher sum assured.
While deciding a sum assured, you should also consider the benefits already available to you through plans like group insurance from your employer. It will help you decide the total amount of cover you would need in case of medical emergencies.
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