Health Insurance Policy: When to Buy It?

Oct 11, 2018 | 1 year ago | Read Time: 3 minutes | By iKnowledge Team

When buying a health insurance policy, you are often caught in a dilemma as to which plan is the best for you. We aim to resolve that query.

When to buy health insurance policy? - Aegon Life

There is no denying that good health is a blessing. However, one must accept the fact that good health is a by-product of a healthy lifestyle consisting of a proper diet, mental balance and regular exercise. With the advent of technology and comfort on the rise, unhealthy habits and inactivity merely take a toll on an individual’s health.

In the prime of youth, medical illness is less likely as compared to an accident. However, any unfortunate event can land you in a hospital which will require you to shell out a hefty amount. On the contrary, as you age, you become susceptible to ailments linked with lifestyle.

How does a health insurance policy help during such time?

During an emergency when one must rush to the hospital, the last thing one would want to struggle with is arranging for finances while also going through an emotional turmoil. In such case, a health insurance plan comes in handy and ensures that the financial aspect of it is taken care of.

How much to buy at what age?

Well, there is no perfect estimation of the amount you require. Experts at a leading Health Insurance company have crunched some numbers which can work as a guideline to help you plan your purchase better.

  1. During the 20s

A common milestone in a persons’ life when they consider buying health insurance starts to develop is when a person becomes comfortable at his/her first job. While youths are increasingly aware of the prevailing health risks, an astounding 75% buy health insurance to avail tax benefits. Moreover, staggering figures suggest that around 70% of all medical expenses are paid from an individual’s pockets.

What should be bought?

For people who are single and between the age group of 18-28 years, an individual plan with a sum assured of Rs. 5 lakhs with the premium range between Rs. 8,000 to Rs. 10,000 is advisable.

  1. Young married couples – Under the 30s

For a newly married couple, if both are under 30, a family floater plan with sum insured restoration should be preferred. A floater plan provides high coverage at a low premium.

What should be bought?

A sum assurance of Rs. 5 lakhs with the premium range between Rs. 8,000 to Rs. 12,000 is advisable.

  1. A middle-aged couple with kids – Under 35

For a young family, a family floater plan with sum insured restoration is a go-to-option. Herein, a floater will provide high coverage at a low premium to the entire family.

What should be bought?

A sum assurance of Rs. 7 lakhs with the premium range between Rs. 15,000 to Rs. 20,000 is advisable.  

  1. Middle-Aged Family (35-45)

During this age-group, it’s preferable to add a floater of critical illness to your existing plan. The additional coverage will help protect the entire family and cover hospitalisation costs which are more expensive in case of critical illnesses. Aegon Life offers iCancer, online critical illness plan that assists one in managing the exorbitant costs of medical treatment, if diagnosed with a disease such as cancer. The plan is designed to provide sufficient financial support about the treatment at every stage.  

What should be bought?

A sum assurance of Rs. 10 lakhs and the premium range between Rs. 20,000 to Rs. 30,000 p.a. is advisable. 

  1. Couple with elder children (45-55)

During this stage, a family floater for the couple and individual health plans are advisable. At this stage, you must opt for a floater plan alongside the regular plan which covers critical illness. Alongside these plans, you should plan for retirement as the employer cover will cease soon.

What should be bought?

A sum assurance of Rs. 10 lakhs (Floater) and Rs. 5 lakhs (Individual) and the premium range between Rs. 25,000 to Rs. 40,000 p.a. is advisable. 

  1. Senior Citizens

At this stage, when you have seen it all, it is time for you to take an individual plan and invest in personal health more than ever. Healthcare needs and medical attention will only grow from time to time, and thus you need to be prepared for it.

What should be bought?

A sum assurance of Rs. 10-15 lakhs and the premium range between Rs. 30,000 to Rs. 45,000 p.a. is advisable. 

Ideally, there are no specific numbers involved as there are too many variables to consider before chalking out the perfect number. However, the numbers mentioned above should help you get a fair idea about the best plans for you based on your age-group this year.

To learn more about health insurance, you can visit Aegon Life and learn about various riders and its benefits which will help you get financial cover against health issues at every stage in your life.

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