Basically health insurance is a type of medical insurance that covers medical expenses that arises due to an illness. These expenses could be related to hospitalization costs, costs of medicines or doctor consultation fees.
There are basically two types of health insurance
1.Mediclaim Plans– Mediclaim or hospitalization plans are most basic type of health insurance plans which cover the cost of treatment when you are admitted to the hospital. The payout is made on actual expenses incurred in the hospital by submitting the original bills
2. Critical Illness Insurance Plans– Critical illness insurance plans cover specific life threatening diseases which results in prolonged and expensive treatment , here the payout is made on critical illness cover chosen by customer but not by actual expenses
Why does one need a health insurance and why is it so much required now a days ?
A person or an individual does not plans to get ill or hurt but serious health issues can lead to hospitalization and a burden on anyone’s pocket
The cost of treating can not only cause financial strain but as well as various problems such as quality education for the child or default of loan repayments and in India the cost is continuously rising day by day
Have you ever imagined what amount does the cancer take away from your pocket apart from an individual’s life, On an average it ranges from 40-45 lakhs to 1Cr+ then the additional charges of hospitalization,medicines,chemos and all.
It is beneficial to take health insurance while you are young because of the lower premium and less financial burden and the acceptance of cover is more when a person is young.
How to choose a good health insurance plan?
Choosing the right fit of health insurance is a smart move and which covers all types of illness.
A good health insurance plan should cover the following things :
1.Protection against varieties of diseases
2. Flexibility to choose the desired health cover.
3.No changes in the health cover if the illness changes
4.Long term policy that covers you even at the very old age
5. Network of hospitals which covers and accept the insurance
What to choose a Mediclaim plan or a critical illness Insurance plan?
A Mediclaim plan will either reimburse all your charges and settle the bill via a cashless facility but with a critical insurance plan a person receives a lumpsum payout on detection of the illness, a person does not needs to be hospitalized for same and if you are unable to work because of illness then the amount can be used as a monthly salary which covers all the bills the doctor visits and other stuffs
In India the health insurance plans are mostly being accepted after the 2 wave of covid hit the country and now they are providing the facility of paying it as an EMI this also reduces the lumpsum burden but also makes the individual feel secured and safe
So in my opinion the health insurance plan should be made mandatory because this not only will help in reducing the default of loans but also helps a person be at his peace of mind.