Life is fun when you are in your early 20s because you really want to make every moment count. It can be anything from learning a new language to doing the most eagerly awaited adventure in life, this stage is really the cornerstone of your life. The choices and decisions you make now will have a really profound impact on your lifestyle in the years to come. From making decisions about investing, saving and shaping your future, everything in your 20s has an important place. This is the right age for you to make yourself financially secure against potential health risks. Therefore, it is important to buy a health policy at an early age.
Benefits of buying health insurance at an early age
- More benefit for less money
If you are under 30, health insurance companies will set lower premiums. They treat young people or all of them as people with low health risk. So, your premium will not be too high. Therefore, getting a cover when you are a young working professional can save you a lot.
- No waiting period
Usually, health insurance companies have a waiting period for various pre-existing diseases and other possibilities. For example, if you have diabetes, any treatment related to this disease will be covered after a waiting period of 3-4 years. You won’t have subject yourself to this waiting period if you buy a health insurance plan when you are fit. In the future, unfortunately, if you are diagnosed with any disease, you will be covered without any waiting period.
- No claim bonus
When you make no claim under your health insurance for a long period of time, your insurance company will reward you with a cumulative bonus in the form of decreasing your annual premium. This means that you would enjoy the same amount of coverage for a lower price. The no claim bonus would start at 20% after you have gone one year without making claim. The no claim bonus benefit could go up to 50% of the total premium. Buying health insurance early means that you can get this concession early and enjoy it for a longer. Since you might be still at an early stage of your career, this helps you save a lot of money.
- Tax benefits
If you buy medical insurance online at an early age, it can help you save money that you would have to pay towards tax. You can save tax under Section 80D. You can also buy a health insurance plan for your parents and you can save even more if they are senior citizens. Exemption under Section 80D is limited to Rs. 25,000 for health insurance taken out for self or family and Rs. 25,000 for health insurance taken for parents.
- Accidental hospitalization
What about the unforeseen and unpredictable risks at any stage of life, even if you thought you would not get sick at a young age. In the event of any unwanted accident, you should have a health insurance plan so that you have enough cover to cover the expenses. If you have a plan, all you have to do is make a claim through a health insurance app. Do not assume that health insurance policies are only made to claim at the time of hospitalization, but it can help you in more ways than one.
Why should you buy a health insurance plan as soon as possible?
- Growing responsibilities
As you grow older, your financial responsibilities will increase, so it is best to keep your medical expenses to a minimum. Going forward, you can include your spouse and children in your health insurance plan.
Advances in medicine have increased the life expectancy ratio; However, the cost of treatment is also increasing day by day. So, if you do not protect yourself now, you may have to pay higher premiums later.
- Comprehensive coverage against diseases
Purchasing in advance will give you comprehensive coverage from the beginning. You do not have to worry about any disease coverage in the future.