Which Health insurance Plan Should Young Adults Opt For?
May 09, 2020 03:39
Due to the recent worldwide outbreak of coronavirus, governments around the world including India have imposed a lockdown on its people. Everyone is at home and is finding something to keep them engage during this pandemic. If you are a young adult who has just started earning, you can buy health insurance.
First of all, these are unprecedented times, and having medical insurance will surely help you financially. The coverage provides by the insurance policy will take care of you and your loved one’s medical expenses and hospitalization bills in the time of need. Not only this, it will also provide your tax benefit under section 80D of Income Tax Act, 1961.
It is advisable to buy a health insurance policy at a young age, as you have to pay much less premium. It is because the chances of you attaining a long-term illness are less at a young age, hence low premium rates. There are several advantages of opting for it at a young age. But medical insurance consists of two types of plans, Indemnity Plans, and Fixed Benefit Plans. Let’s see the difference:
What Are Indemnity Plans?
Indemnity-based health plans indemnify the policyholder against medical and hospitalization expenses up to the total sum insured. Under this plan, you will get reimbursed for the actual expenditure incurred during hospitalization only up to the total sum insured under the Indemnity plan. If you have opted for the cashless hospitalization plan, you only need to pay a certain fixed amount and the rest will be taken care of by your insurer. However, if you have not opted for the cashless hospitalization plan, you need to submit the necessary documentation such as bills paid, medical reports, and other required documents, so that your insurer can reimburse the expenses.
You should know that the plan will only reimburse the money that is spent on the treatment within the limits of the sum insured. Family Floater Plans or the regular Individual Health Plans come under indemnity plans.
What Are Fixed Benefit Plans?
If you opt for a fixed benefit health plan, you will get a fixed and guaranteed amount equivalent to the sum insured in case of an insured event as per the policy terms and conditions. In this plan, you will get a lump sum amount as a claim irrespective of the intended or actual expenses incurred during hospitalization. Fixed benefit plans and indemnity plans are different from each other. It is up to you how you want to use the claim amount.
In a Nutshell!
The main concept of investing your hard-earned money in health insurance plans is to get appropriate coverage. It is very important to maintain a balance between Indemnity Plan and Fixed Benefit Plan if you want a comprehensive health insurance cover. Both of these plans come with specific advantages, it is up to you to choose them as per your specific medical needs. For the millennials, both plans are good, but you have to choose based on your and your family’s medical needs.
There is no secret that the world is becoming more practical day by day, and the digitalized world is becoming our future. All businesses have shifted from traditional marketing to digital ones as the quality is much better, and of course, it is a much cost-effective technique. Along with a variety of digital marketing techniques such as content marketing, SEO, email marketing, and press release distribution services, it is one of the most effective and efficient ones. The question must be arising in your mind is, why go for press release distribution services (PRDS)? Well, let us discuss the significance of PRDS for your businesses. Read more
The term ‘community development’ is associated with a variety of different meanings. For some people, community development is the strengthening of the economy. Others think community development is all about providing people with top-quality academic opportunities. While some believe community, development encircles the concept of spiritual rejuvenation or building social capital. Read more
The celebration of occasions is the best part of our life. These are the best moments of our life that provides oxygen in a monotonous life. The celebration of occasions has a beautiful essence of relationship with our beloved ones. And this bond gets stronger with the specific gifts for occasions. Now, different countries have different courtesies and etiquettes of gifts. Some gifts are associated with culture; some are associated with the climates. But, if you are looking for varieties, then it is best to search in the European countries. Here is a list of perfect online gifts for European countries. Read more