The complexities of modern life coupled with unhealthy food habits and lack of proper exercise exposes the body to various ailments. According to a study, over 61% of all deaths in India are attributed to lifestyle diseases.

While combating a medical emergency, 70% of the population bear the expenses out of their own pocket, because of which about 7% of the population move below the poverty threshold each year. All the more reason why you need a Health Insurance policy in the 21^st century.

Tackle medical inflation

It’s estimated that the rate of medical inflation in India is around 15%, which is much higher than general inflation. A health insurance plan helps you tackle medical inflation by providing the financial muscle to bear the astronomical costs of treatment.

While most Health Insurance Plans reimburse the cost of hospitalization up to the sum insured, fixed-benefit plans, such as a critical illness policy, offer a lump sum upon diagnosis of a critical ailment.

Also, health insurance plans offer no claim bonus wherein the sum insured is increased by a certain percentage at no extra premium for every claim-free year. This too helps to beat the effects of medical inflation.

Prevent out-of-pocket expenditure

A medical crisis has a potential to wipe out all your savings. Even hospitalization for a few days in a private clinic or nursing home can result in a billable amount running into lakhs.

However, a health insurance policy reimburses the cost of treatment thereby preventing out-of-pocket expenditure. Thus, a health plan prevents drying up of your savings and cushions you from falling into a debt trap.

Keep essential financial goals on track

Key life goals such as higher education of children, their wedding, and your retirement can get affected in case of depletion of savings. A comprehensive health insurance plan helps you keep essential financial goals on track by preventing your savings from drying up.

During the course of the treatment, your family can maintain day-to-day expenses, pay EMIs of loans (if taken) and insurance premiums, if any. Thus, a health insurance plan ensures your essential life goals aren’t compromised during trying times.

Avail the best possible treatment

Every health insurer has a tie-up with leading hospitals where you can avail cashless treatment. Generally, most of the hospitals have top-notch treatment facilities which ensure you or your family member(s) covered by the policy can avail the best treatment possible.

The paucity of funds can lead to a compromise in treatment. However, with a health insurance policy in place, you can rest assured of getting the right treatment needed for a quick recovery.

You can either buy an individual health insurance plan or health insurance plans for the family, known as family floater policies to cover all members of your family. Before buying health insurance plans in India, make sure to compare offerings from different insurers on various parameters such as the sum insured, the network of hospitals, sub-limit and co-pay clauses among others.

The post Why Do You Need Health Insurance In 2019? appeared first on MyDailyLifeTips.