Do You Really Need Health Insurance?

Necessity Of Health Insurance - Activ Together

In India, it is common practice that if you get sick, you visit your family doctor and get a prescription for medicines or are asked to do some tests. A visit to a general physician (GP) could cost anything between Rs.100/- to Rs.500/- depending on the area where the doctor is located. Many well-established doctors also provide free check-ups for the less fortunate in the neighbourhood. This system is usually quite economical for regular illnesses, but every now and then something more serious can occur which can lead to longer treatment, hospital stay, and a bigger bill.

A hospital stay due to prolonged illness or injury can prove to be a financial burden for many Indian families. With only about one-third of Indians opting for health insurance, an unexpected medical emergency might have to be paid for from personal savings, or even by borrowing the funds. Long after the patient is out of the hospital and has recovered physically, the stress of the financial setback can still affect them and their loved ones.

Through all this, it is the woman of the household who not only cares for the sick family member but also keeps a close eye on the finances. It is not uncommon for mothers to make sacrifices and shelve their own needs to take care of their kids and husbands after a financial setback. But no family should have to suffer from a financial crisis because of illness. It is a part of life and should be anticipated. This can be done by women taking over the financial reigns and buying health insurance for the wellbeing of the family.

How Does Health Insurance Help?

Health insurance is an insurance product that gets you coverage for your hospital bills when you pay an annual premium. The upper limit of the coverage or the amount you can claim is pre-determined according to the scheme you choose. Based on the type of scheme, your age and medical history the insurance provider decides how much premium you will need to pay per year.

Here Are A Few Advantages Of  Buying Health Insurance:

Your premium is usually a significantly smaller amount than what your hospital bill could be and will not drastically impact your finances.

In the case of a medical emergency, your health insurance will provide you with a financial safety net. The insurance coverage pays for all or part of your bill so that you don’t need to shell out thousands of rupees from your savings.

All insurance companies partner with some hospitals, which allows you to have completely cashless transactions. The hospital sends your bills directly to your policy provider and they settle all the expenses. This proves very convenient for both the patients and the relatives who are caring for them.

In cases where you use the services of a non-partner hospital, you need to send all your bills to the insurance company and get a refund for all your expenses. When this happens, you will initially need to spend your own money, but it is soon reimbursed within your coverage limit.

Many health insurance schemes also cover your pre and post hospitalisation medical tests which reduces your expenses even further.

Another advantage of health insurance is that the children of policyholders can also be covered under the same policy if you choose a family health insurance policy.

Medical emergencies can strike at any time without warning, but when you have health insurance you can be better prepared for the eventuality. When you consider the amount, you receive in coverage as compared to the premium you pay, health insurance is definitely a good idea.