We work hard to achieve our life objectives and build our careers, and often put in extra hours and stay up late to strive for excellence and success. While you may achieve your professional goals, the constant stress in your life may take a toll on your physical well-being. Consequently, you may have to battle certain illnesses and lifestyle disorders.
Therefore, it is important to ensure that you are protected against unfortunate health-related events. The easiest way to do so is by buying health insurance. You can buy an affordable medical insurance plan online and use an online health insurance premium calculator to assess and compare various plans.
What is Health Insurance?
A health insurance plan is an insurance product designed to offer you financial assistance for dealing with your medical expenses. If you fall ill or meet with an accident, dealing with the medical expenses becomes easy with the help of a medical insurance plan.
Usually, insurance companies have tie-ups with certain hospitals in the country to help customers get cashless treatments. However, if you wish to get medical attention at a hospital outside your insurance company’s network, you will have to pay the bills then file a reimbursement claim with your health insurer.
Why You Should Buy Health Insurance
Medical costs in the country are consistently rising, and getting the required medical attention for your health-related issues can lead to heavy financial expenditure. You may have to dip into your life savings to deal with the hospitalisation expenses and post-hospitalisation care.
However, with a medical insurance plan, you can focus all your energy on recuperating without worrying about the bills. You also have the flexibility to include riders in your health insurance policy. These riders can help you enhance the policy’s coverage.
Here’s How You Can Save Money with Health Insurance
While buying a medical insurance plan can help you prepare for medical emergencies, there are several other benefits of health insurance that can help you save money. Here are some tips on how you can save money with health insurance.
- Buy health insurance early:
Age plays a crucial role in deciding the premium of your health insurance plan. Therefore, if you purchase a medical insurance plan at an older age, you will end up paying more for the cover. It is advisable to buy a health insurance plan at a relatively younger age, say in your twenties or thirties. When you are young, you usually do not have many health issues, which allows you to get lower premiums on your medical insurance policy.
- Choose the most feasible plan with a health insurance premium calculator:
Many insurance companies offer a health insurance premium calculator to help you choose the most suitable insurance plan for yourself or your family. With this calculator, you can get a clear estimate of the cost of your health insurance policy.
Furthermore, you can assess the cost of the plan with the addition of the required health insurance riders. With a health insurance premium calculator, you can compare different plans and select the one most suited to you.
- Select affordable medical insurance:
If a customised medical insurance cover is not affordable for you, you can opt for a basic health insurance plan that provides financial protection against medical emergencies or illnesses. While a few of your health insurance requirements may not get covered under an affordable plan, you will still benefit from the coverage provided by the plan and a low premium payment obligation.
- Opt for a Top-up Plan:
There are certain scenarios when you may find that the sum insured under your health insurance policy is low. In such situations, you can opt for a top-up plan and increase the coverage on your existing insurance plan. You will only need to pay for the additional benefits instead of the entire policy.
- Earn and use a No-claim bonus:
For every year that you do not file a health insurance claim, your insurance provider offers you a reward termed a ‘No-Claim Bonus.’ An NCB is a cumulative bonus that is added to your policy after a claim-free year. Through this bonus, you can get a higher sum insured for your health insurance plan with no additional premium.
- Avail of the Tax Benefits of health insurance:
A health insurance plan carries certain tax benefits and helps you reduce your overall tax burden. Under Section 80D of the Income Tax Act, 1961, the premiums paid for a health insurance plan are tax-deductible to the tune of ₹25,000. For senior citizens, this deduction is extended to ₹50,000. Hence not only does a health insurance plan provide you financial protection against health-related challenges but it also helps you curtail your tax liability.
- Prioritise a healthy lifestyle:
With your health insurance premium being directly proportional to your medical condition, the natural inclination to reduce the premium burden can motivate you to adopt a healthy lifestyle, one filled with a balanced diet, adequate exercise, and rest.
How You Can Make Effective Utilisation of Your Health Insurance plan
While you can follow certain tips to lower the cost of your medical insurance plan, you can also follow certain steps to use your insurance policy effectively, including the following.
- Go through the different tips available online for ‘how to choose the best insurance plan?’.
- Read the selected policy document carefully.
- Get the required assistance for understanding the plan by contacting the customer support team of your health insurance provider.
- Ask your insurer about the discounts and benefits available with your health insurance policy.
- Try to get medical treatments only at the network hospitals of your insurer.
You can follow certain steps to get affordable medical insurance and use your health insurance plan in an effective manner. With a suitable medical insurance plan, you can get protection against various medical conditions and also adopt practices that can help you save money.