Nowadays, especially after COVID came into the scene, health is what everyone is prioritising before everything else. With the increasing concern of health, many people are now more focused on getting health insurance to protect their health. In this article, we’ll discover the meaning of health insurance and why it has become so important. Let’s begin with knowing the meaning of health insurance. Health insurance is an insurance type that pays overall on behalf of an individual for medical costs incurred due to any sort of illness.
These charges may involve hospitalization
bills, pharmaceutical prices, medical consultation fees, etc. More precisely,
health insurance always inclines to cover the insured individual’s medical,
surgical, medication drugs, along with dental expenditures. Health insurance
pays the care provider directly or it compensates the insured individual for
expenses incurred due to illness or accident.
Health insurance is also continually
encompassed in employee benefit packages as a means to persuade top talent,
with premiums that are partly covered by the company but frequently withheld
from employee compensations. With few limited exclusions, its cost is
deductible to the payer, and the benefits that are received are mostly
tax-free.
An individual can buy such insurance for a
particular period by spending monthly or annual dividends in different amounts.
During this precise time, if an insured individual gets involved in an
unfortunate accident or gets diagnosed with a serious illness, the insurance
company is there to cover the costs of the entire treatment.
Standard health insurance plans cover any
medical issue that necessitates immediate hospitalization. However, claims are
only considered when the sickness had not been recognized previously and the
insurance plan has not been utilized yet. A health insurance plan generally covers
pre-hospitalization expenses.
However, it might be a little difficult to
understand health insurance, especially when you’re new to this knowledge
field. The insurance plans that are overseen and supervised often require the
policyholders to obtain care from a network of healthcare providers that are
certified by the government. Besides, patients have to spend a huger percentage
of the cost if they want to seek care outside that network. In several
situations, the insurance company may even deny paying for services altogether
that are out-of-network. Now that you have gotten an idea about what health
insurance is, let’s proceed further with knowing why it is important.
The reasons are-
1-
Changing Lifestyle- There are numerous important reasons for an individual to have
health insurance. The seismic turmoil in civilization’s way of life has
provided them more vulnerable to a variety of hazardous health-related
problems. Stressing work plans, bad eating habits, bad food quality, and
constantly looming pollution levels have all hugely contributed to a boosted
chance of cultivating health-related problems.
2-
Soaring Medical
Expenditures- Medical costs have risen considerably
in recent years after COVID took over the healthcare system. As a result, in
the circumstance of a sudden medical crisis, people are forced to expend their
entire funds in that only, resulting in them unknowingly compromising with
their future goals. According to reports, when it comes to dealing with health
issues, Indians rely mostly on their savings, hence, health insurance is
important.
3-
Coverage of Pre- and
Post-Hospitalization Charges- Not only have medical
costs risen in recent years, but so have the costs of OPD (out-patient
department) bills and diagnostic tests, making it even more important for
people to get health insurance coverage to meet the sudden and high amounts to
medical bills. It is worth knowing that medical insurance does not only covers
the heavy costs of hospitalization but it also covers the outpatient care and
diagnostic testing before and after the specified period of the policy.
4-
Other Benefits- Health insurance also provides benefits such as ambulance
coverage, coverage for day-care surgeries, coverage for health check-ups, and
coverage for vaccination costs.
