Our parents constantly remind us of the importance of saving money and Health Insurance and having a backup plan in case of an emergency. They want us to spend money on insurance, such as health insurance or even life insurance, as well as fixed deposits or mutual funds. However, at such a young age, none of this matters.
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The Benefits of Buying Health Insurance When You’re Young
1. Lower Quotes
When a person is younger, the chances of developing a medical condition are lower than when they are older. If a health insurance policy is purchased before the age of 30, the sum assured of 5 lakh rupees can be obtained for as little as Rs. 5000. This cost rises with age, for example, the same cover may cost Rs 6000 to 8000 in one’s forties. When a person is young, health insurance companies will offer a cheaper insurance plan because the risk is lower.
2. Health Risks
Diabetes, kidney failure, cancer, heart disease, and other ailments are all covered by a health insurance policy. Most of these conditions begin to affect people after the age of 35. When you purchase a health insurance policy early in life, you are virtually guaranteed not to contract a life-threatening disease. When you are younger, the financial risk associated with your health is lower.
3. Aligned Finances
Planning your finances earlier in life will benefit you in the long run. Your finances will go haywire if you purchase health insurance benefits later in life or at the onset of a disease. Instead, it is a good idea to plan ahead of time for any medical emergencies. As a result, you are already prepared for emergencies of any size.
4. Waiting period
Many health insurance plans require a waiting period for various conditions before they can be covered. Examples of these include maternity benefits, pre-existing conditions, and/or diseases. The waiting period can last several months or even years. Even if a medical emergency occurs during the waiting period, one cannot file a claim. When a health insurance policy is purchased at a young age, the waiting period can be easily passed without concern about a medical emergency.
5. RejectionsÂ
Insurance companies have the option to reject an application. Typically, this occurs when the risk of covering an individual is higher, i.e. when the policyholder is older. As a result, the chances of your application for health insurance benefits being denied are lower when you purchase the policy at a young age.
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6. Protection
When you are young, you can obtain more coverage at a lower cost. A health insurance policy covers not only hospitalization but also day-care procedures, pre-and post-hospitalization, out-of-pocket expenses, and so on. If you do not have health insurance coverage later in life, the cost of obtaining these coverages will be higher.
7. Pre-existing medical conditions
When you buy a health insurance policy in your 40s, chances are you already have some illness. As previously stated, insurers frequently impose a waiting period for pre-existing conditions. When you purchase a policy at a younger age, you may not have such a condition, and if such a disease strikes in the future, it can be treated immediately with the help of your policy.
8. Renewability
A health insurance policy can always be renewed, according to the Insurance Regulatory and Development Authority of India (IRDAI). Even so, the average age for renewing a health insurance policy is 65 to 70 years. However, if you purchase a policy early in life, you can take advantage of the lifetime renewability option.
