You invest a lot into your life’s savings account then why take chances with health? Assure yourself and your family of a happy life by getting a health insurance policy that takes care of all your medical needs without being hit by hefty hospital bills. Health insurance refers to the provision of reimbursement or payment for the expenses incurred due to illness or injury. It is often included in employer’s package and is seen as a means of enticing employees. The healthcare industry has grown manifold since the 1990s when it grew at a rate of 16%. Today the industry is worth 34 billion dollars. Insurance is necessary for everyone as the medical costs have reached sky-high levels. Medical contingencies can strike anyone at anytime and you should be equipped for them. Your financial losses can be safeguarded with effective insurance plans that suit your needs. You can also modify them as per your growing needs. The biggest question however is, whether to choose individual health insurance plan or settle for a family health insurance plan? Let us first explain the basic difference between the two. Health insurance for individuals refers to the plans that individuals purchase for their medical insurance which is outside of a plan sponsored by the government or by an employer. The policies are intended to cover just one person. Individual health insurance policy is the one that is privately purchased for a single person. It is extremely important that you take good stock of health care needs while shopping for individual health insurance as there is no one right plan that caters universally. Family health insurance provides coverage for a maximum of 4 individuals in the family excluding parents. For those who wish to provide coverage to his/her parents, need to buy another health insurance policy for them. In order to improve on this, most health insurance providers in the country have introduced certain changes in the medical insurance policies for families. You can now cover your family including your parents. In addition to that you can also extend it to cover your in-laws and other relatives. Such a comprehensive addition to family medical insurance schemes is a boon to everyone. Let’s assume a hypothetical instance where X is a 30 year old salaried individual having four family members including two children. Suppose he buys Rs. 2 lakh worth of individual health insurance for each member. One day his child falls ill and the hospital bills amount to Rs. 3 lakh. Because the child is only covered for a sum of Rs. 2 lakh under the individual policy, the remaining Rs. 1 lakh has to be borne by X. Now if X has a family insurance cover of Rs. 4 lakh, the entire hospital expenses would have been borne by the insurance provider. Thus a family health cover is more beneficial in such cases. Which one you opt for would depend on your personal preference and family situation: just choose wisely.
July 13, 2016