You can spend more time with the people that matter in your life. You can pay more attention to your children and be available for your parents in their twilight years. You can go on holidays without worrying about taking leave from work or being glued to your laptop while on a holiday. You can take care of your health and focus on exercising to stay fit. The benefits of early retirement are many.
However, most working couples are constrained from retiring early due to financial concerns. There is always the fear that they may not be able to afford the lifestyle that they are used to. The biggest fear for most people is that any medical condition that may arise later could cause a dent in their retirement savings. With the ever-spiralling cost of health care in India, such fear is not unfounded.
But, there are several ways in which you can make provision for taking care of your medical expenses after retirement:
Employer-sponsored health insurance for retireesCertain large corporations have a policy of offering health insurance schemes to retirees and their families. In case you or your spouse is working for such an organization, you need not have much concern regarding health care expenses that may arise after you have opted for early retirement.
Health Insurance PlansIn India, there are several health insurance plans that offer a wide range of health care facilities to the insured. The benefits may range from cashless hospitalization to pre and post hospitalization benefits. You can make a comparison between the plans offered by various insurers and choose one that is most suitable to you.
Remember that the cost of medical insurance increases with age. It is much more economical to buy medical insurance when you are still young and free of any medical condition.
When you choose early retirement, you need to necessarily make provisions for taking care of health care needs that may arise in future. Medical insurance plans can take care of your health care expenses, thereby protecting your retirement savings. Buy health insurance early to enjoy lower premiums. Once the medical expenses are taken care of, you can choose to retire early.
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The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.
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