How buying health insurance is great for your financial portfolio

Given the way the world has functioned in the years 2020 and 2021 owing to the omnipresent Coronavirus, it is no longer a question of whether one should buy health insurance, but whether one should take a family floater plan or not. Nothing is as vital as safeguarding your loved ones and yourself from the financial perils of treating a disease or injuries from accidents in the future. With healthcare costs on the constant upswing, you are left with large bills for surgeries, doctor’s consultations and medicines, not to mention post-procedural therapy if you are not backed by the best health insurance plan in India. A health policy takes the pressure off your income and savings when a health event occurs.

Consider the benefits of taking the best health insurance plan in India for yourself and your family members:

It pays for future health events, so you don’t have to. The best policies have adequate coverage that account for a range of costs, from hospitalisation to post-operative care. These are considerable expenses that can pressurise your income if you don’t have a health plan

It pays for a range of eventualities. The best health plans cover pre- and post-hospitalisation, ambulance charges, daily hospital cash, day care procedures, domiciliary hospitalisation or care, etc.

It helps you plan your treatment. Having a health insurance plan with comprehensive coverage makes it easier for you and your loved ones to avail of treatment in a planned manner. Suppose you or a family member requires surgery, and you have a cashless mediclaim plan. You can choose to have the surgery at the best network hospital in consultation with a doctor of your choice, and with all the paperwork handled in a hassle-free manner. Similarly, having a critical illness insurance plan helps you start on essential life-saving treatment immediately upon diagnosis of a serious illness, instead of waiting to gather the requisite funds.

It offers tax benefits. The premiums paid for health insurance plans get tax benefit up to Rs 25,000 per year under Sec 80D of the Income Tax Act, 1961. Premiums paid for aged parents fetch tax benefits up to Rs 50,000.

The most important additions to make to your financial portfolio

The year 2022 has recently begun, and it is time to take stock of your investments for the year. Before the year’s income tax returns are filed, it is important to make certain payments and invest in new schemes towards a tax saving purpose. Consider the following must-have options in your portfolio:

• 5-year tax-saving fixed deposit (Sec 80C)
• ELSS scheme (minimum lock-in of three years, deduction under Sec 80C)
• This year, you should add buying a health policy and personal accident insurance to your insurance portfolio (deduction under Sec 80D)
• Term life insurance (Sec 80C)
• A home loan (helps you buy property, deduction for interest under Sec 24, deduction for principal under Sec 80C)
• Unit Linked Insurance Plan (ULIP, Sec 80C)

Maintaining good health is lifelong work

However, maintaining good health and fitness is as important as buying a personal accident insurance, or critical illness insurance, or the best health insurance plan in India for your family. Your health and that of your loved ones should be such that you should not have to use your health insurance for several years. This takes dedicated and daily effort, in terms of exercising, eating a nutritious home-cooked diet, sleeping adequately, and keeping stress at bay. Having good health is lifelong work, but it is an investment that can pay the richest dividends.