Many of us are aware of health insurance and its benefits. people have had long discussions, read many articles and watch videos about financial planning. However, unfortunately health insurance is overlooked in most scenarios in spite of it being one of the most important components of a healthy financial portfolio.

When minor yet unexpected health issues occur, we all start seeking a contingency plan. You suddenly remember that buying a health insurance plans makes sense. There are several benefits of having a strong and comprehensive health insurance plan.

Now if you know, there are health that that you can buy for yourself and your family, and then there are health plans that your employers purchase for you. You might have been covered with a group insurance policy. But those may not be as comprehensive and hence buying an individual or family health insurance is always a good idea. Health insurance plans offer you financial freedom from medical care expenses without hampering your existing savings.

Besides choosing the right health insurance plan , is crucial. Make sure you opt for a plan that covers your needs based on medical analysis and records from a reliable doctor. Even small medical expenses can hurt your financial plans. Whereas, getting an apt health insurance plan helps you make up for uncertain medical expenses.

Here are a few reasons you need a health insurance policy  and why it should be a part of a strong financial portfolio:

• You get financial cover for uncertain medical expenses. You can choose the sum insured suitable to your expectations and safeguard your finances.
• Health insurance plans are more affordable than life or general insurance plans and help you gain access to quality healthcare.
• You get coverage against critical illnesses, which is significant as treatment for critical illnesses can be very expensive.
• A hassle-free claim process ensures that you are reimbursed quickly.
• Health Insurance Plans offer you peace of mind knowing your family is protected in case of an emergency.

Keep these things in mind while buying a health insurance plan:

Budget is the primary thing that we all should think of, which is evident in any case. Though health insurance works as the financial backbone, your current state of income is also important. Choose your sum insured wisely so that it will help you maintain the premium paying capacity throughout the tenure. Here are a few things to keep in mind while buying a budget health insurance:

•    Sum Insured:

In general, it is always better to get the sum insured equivalent to your annual income. This helps you tackle any financial uncertainty. In case of critical illnesses, get expert advice to get adequate cover.  

•    Premium Amount:

As mentioned earlier, you must make sure that the premium amount you get by finalizing the sum insured, must be affordable. Not just in the present, but for the future too.

•    Financial Goals and Life Stages:

We all have financial goals. While buying a health insurance plan, you must make sure that the premium and the cover are well-aligned with your long-term and short-term goals.

•    No Claim Bonus and Deductible:

Usually, when you have a claim-free year, you can enjoy either a discount on the premium. Avoiding claims for small injuries or not so severe health conditions can undoubtedly help you make your insurance more affordable. Choosing high deductibles also makes the policy more affordable with lesser benefits and vice-a-versa.

Hence, it is essential to factor in health insurance policies  as a part of a strong financial portfolio, and reduce the chance of losing hard-earned money.