Importance of Health
Insurance
  • Explore the Benefits of Health Insurance Policy
  • Understand the Importance
  • Know how Growing age affects Premium
importance of health insurance
Buy Policy in just 2 mins

Buy Policy in just 2 mins

Happy Customers

2 lakh + Happy Customers

Free Comparison

Free Comparison

Customized Health Insurance Plan for you.

Get upto 15% Online Discount*

Select Members You Want To Insure

Age of Eldest Member

Importance of Health Insurance in India 2023

Considering the rising medical costs and a spurt of lifestyle diseases amongst Indians, having health insurance is necessary for every individual. A medical emergency, by definition, occurs unexpectedly and has a significant emotional and financial impact on the individual and their family.

Health risks and uncertainties are a part of life. One cannot plan and get sick at their convenience. What could be a better example of health’s uncertainty than the COVID-19 Pandemic?

Make Health Your Top Priority Banner

Complete Health Suraksha Banner

In the last year, the COVID-19 pandemic has drastically changed lives across the globe. People were struggling to get treatment, the high cost of healthcare facilities made people lose their lives, and many experienced their loved ones dying because of costly hospitalization expenses.

The national and global health agencies put a great emphasis on keeping the immune system strong during the COVID-19 outbreak. With this pandemic, many people have started prioritizing their health and are trying to follow a healthy lifestyle.

**The Print

People often say that we are financially stable, why do we need to invest in Health Insurance? Well, with the continuous rise in the medical facilities in India, falling prey to any critical illness can lead and your family you financially handicapped.

For example: In a regular private hospital, the cost of an open heart surgery ranges from Rs 1.75 lakh to 4.25 lakh.

Having Health Insurance increases accessibility to quality healthcare, in govt as well as in the private hospital in particular where the high costs treatments remain a barrier for many.

How is Health Insurance Beneficial?

The following is a list of the possible effects of having a pre-existing disease on your health insurance policy.

  • Affordable way of CoverageFor buying a health plan, one needs to pay the premium either annually or monthly. The premium paid is affordable and offer peace of mind.
  • Covers the Hospitalization ExpensesA health insurance plan covers all the hospitalization expenses and ensures that you can concentrate on your treatment and not on the expenses.
  • Cashless FacilityEvery Health Insurance company offers a list of empanelled hospitals, wherein one can avail of the cashless facility. This means that all the medical expenses will be borne by the insurance company.
  • Domiciliary HospitalizationIn a case where the patient is unable to visit the hospital due to his/her health condition or there is the unavailability of beds, the policy will pay for the domiciliary treatment.
  • No Claim Bonus (NCB)NCB is a discount that a policyholder receives for every claimless year. It helps to reduce the payable premium (by a certain percentage) at the time of renewing the policy or offers an increase in the sum insured.
  • AYUSH TreatmentAYUSH Treatment stand for Ayurveda, Yoga and Naturopathy, Unani, Siddha and Homeopathy treatments availed by the policyholder, provided the treatment happens at a government-approved hospital accredited by the Quality Council of India of National Accreditation Board. As per the IRDAI's guidelines, insurance companies are liable to cover AYUSH treatments up to a certain level, which may vary from insurer to insurer.
  • Tax BenefitsHealth insurance premiums provide tax benefits under Section 80D of the Income Tax Act, 1961. If you are below the age of 60 years, you can get an exemption of up to Rs. 25,000 per year, and if your age is above 60 years, then the benefit increases up to Rs. 50,000.
  • Coronavirus CoverageLooking at the rise in the numbers of corona cases, IRDAI has mandated every health insurance company to offer coverage for coronavirus treatments. Moreover, IRDAI has even launched two specific corona-specific policies, namely,
    • Corona Kavach
    • Corona Rakshak
  • Additional CoverageOne can also avail of additional benefits such as ambulance coverage, day-care coverage, coverage for health check-ups and vaccination expenses under health insurance.

Will Increasing age affect my Premium?

Yes, it will. An insurance company will evaluate your health profile and see if you require more medical attention or not. With growing age, many people will develop age-related health issues such as high cholesterol, blood pressures issues, diabetes and many more which will require frequent doctor visits.

While providing health insurance plans to the aged, insurers try to protect their interests by increasing the premiums. Hence, you must take note of the fact that insurance premiums will increase as you grow older. It is recommended that you act early if you want to invest in a health insurance plan.

For a better understanding, take a look at the below example of an individual whose premium increases considerably with growing age:

Mr. Verma decided to buy a Health policy of Rs. 5 Lakhs for himself at the age of 26. At this age, the premium he needs to pay would be Rs. 7,844. Now let’s see how the premium amount will change with the growing age:

Premium Illustration With Different Age groups and Premium Amount

Premium Illustration With Different Age groups and Premium Amount

*Data has been sourced fromIRDAI Annual Report

Wrapping It Up:

Today's fast-paced lifestyle necessitates the purchase of health insurance. It's important to protect yourself and your loved ones from any medical emergency that might put you under financial stress. Thus, do proper research and buy your most suitable health policy now.

Importance of Health Insurance FAQs

1. How does having a health insurance policy help?

A health insurance policy provides you coverage against rising medical expenses and secures your family from all medical emergencies and supports your planned medical treatments. All your expenses related to your health are covered up to a specific sum insured.

2. What is the importance of health insurance?

When you buy health insurance you are entitled to multiple benefits such as:

  • Affordable coverage
  • Hospital expenses covered
  • Hassle-free hospitalization and treatments
  • Avail cashless facilities and more

3. Will my age affect my premiums?

Yes, age is an important factor when it comes to premium rates. An insurance company will evaluate your health profile and see if you require more medical attention or not. With growing age, many people will develop age-related health issues such as high cholesterol, blood pressure, diabetes, and many more which will require frequent doctor visits.

4. What are rider benefits in health insurance?

There are various riders available offered by different insurance companies which attach to your policy for additional benefits. Some of the commonly offered riders are an accidental death benefit, critical illness rider, etc. You can opt for a suitable rider and expand the importance of health insurance in your life.

5. How can I select the best health insurance plan for myself?

There are a few steps before you invest in the right health insurance plan such as

  • Evaluating your needs
  • Comparing the benefits
  • Recognizing the type of health insurance you need and more

Health Insurance Companies

Health Insurance Articles

What is OPD Cover?

What is OPD Cover?March, 2022

What Our Customers Have to Say

Customer Review Image

Thakur rudra Pratap Singh

Bengaluru

August 25, 2023

a good experience in this company very fast and helpfull customer service and support one of Advisor Mr. Gulshan very talented advisor and resolved my all questions and doubts thank you policyx...

Customer Review Image

Golu thakur

Indore

August 11, 2023

Very good experience in this company and one of advisor mr.gulshan sendhav very talented person and good knowledge

Customer Review Image

hiendraptl

Vadodara

August 9, 2023

i have calim register in 20.7.23 for some of query by resolve it. but last one letter rejection for missprtaiton for agr rejected calim - but can not be any advise what to do - in the star hea...

Customer Review Image

VIJAY KUMAR MAURYA

Gurgaon

June 13, 2023

"I got accident and I m upload my medical bills and reports and on time i got call from the acko and I m explained... The team of acko mam "ANUSHA " Taken my accident claim and d...

Customer Review Image

Mayank Bhardwaj

Gurgaon

June 13, 2023

Fast and helpful customer support. Had issues with claim filing and the query was resolved in just some time. Very happy with the forever available assistance.

Customer Review Image

Pravin

Indore

June 8, 2023

A thoughtful health insurance provider, they helped with the claim settlement without any hassle in a medical emergency when my father was hospitalized

Customer Review Image

Gurappa pathuru

Bengaluru

June 3, 2023

The company has some of the best health plans from low budget to high. The company provides support 24/7 and does not bother with spam calls.

Customer Review Image

Richa Agrrawal

Mumbai

May 1, 2023

my experience with PolicyX has been overwhelmingly positive. Their excellent service, a wide range of insurance options, user-friendly website, competitive pricing, and trustworthiness make the...

Naval Goel

Reviewed By : Naval Goel

Naval Goel is the CEO & founder of PolicyX.com. Naval has an expertise in the insurance sector and has professional experience of more than a decade in the Industry and has worked in companies like AIG, New York doing valuation of insurance subsidiaries. He is also an Associate Member of the Indian Institute of Insurance, Pune. He has been authorized by IRDAI to act as a Principal Officer of PolicyX.com Insurance Web Aggregator.