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Today, health is a major concern in India. Keeping in mind the rising medical cost and sedentary lifestyle,
health insurance plans are a necessity, regardless of your age. A medical emergency can attack anyone,
anytime, and impact an individual emotionally and financially. Financial advisors therefore suggested
that it is prudent if you buy adequate health insurance cover early in life.
Here’re few reasons and benefits to buy health insurance policy before turning 30.
The younger you’re, the lower your health insurance premium. The premium rate of your health plan is
highly dependent on your age. For instance, if you buy a health plan with Rs 5 lakh coverage at an age of
25 years, it would cost you around Rs 5000 but the same policy at the age of 35 yrs and 45 yrs would
cost you around Rs 6000 and Rs 8000, respectively. Hence, buy your health plan as early as possible to
get lower premium.
Why people are encouraged to take health insurance plan at a young age? At early age you are less
prone to diseases than compared to elder age. Hence, issuance of policies and waiting period for full
coverage easily surpasses when you’re young. Having a health policy early in life can rid of the waiting
periods while you are in your best health and get the cover at a later in your life when you need it the
most. Health insurers will not be able to reject your medical claims if you have continuously been
covered for at least eight years. This is why, availing a medical insurance plan early does make sense.
When you buy a medical insurance, you will have to serve several waiting periods’ ranges from one to
four years for certain surgeries, pre existing illness coverage, special treatments, etc. If you buy medical
insurance at an early age and don’t need it immediately, it means you have served the requisite waiting
periods and will be eligible to claim full benefits later.
Tax benefits
According to the Income Tax Act of 1961, under section 80D, you are eligible to claim the premium that
you pay towards your health insurance policy as a deduction from their total income. If you buy a health
insurance plan at an early age then you can enjoy the tax benefits for a longer period of time.
Buying a health cover at a younger age not only means cheap but makes better financial planning also.
Your health plan would cover your health complications, rising medical expenses, unfortunate accidents
and much more. In addition to these benefits, you can focus on investing your hard earned money in
long term investments.
Most of us often tend to ignore buying a health insurance policy. However, many people live under the
illusion that why do they need a health cover? as they are fit and fine! This attitude may prove costly to
them. Hence, Experts say that buying health insurance cover should be the first step in person’s financial
planning. You should invest in health insurance early in life to enjoy full benefits when you need.