Nowadays, people are focusing more towards buying health insurance than life insurance. The key reason is the lack of knowledge. People have a thinking that buying a health cover will help them pay off huge medical bills, however investing with a life insurance policy will go in vain, if nothing unfortunate happens to them. It is purely a misconception. Actually, health and life policies complement each other.
Moreover, the market is flooded with the numerous health and life insurance policies that make the people confused which one to buy. In order to understand why you need both the life and health insurance, it is essential to know the coverage available for both of these policies.
Health Insurance Cover
Health insurance plans provide cover for you & your family and it pays off medical expenses incurred in case of any unforeseen medical emergencies. In the present era of high-rising medical cost, having an adequate medical cover proves quite beneficial, as it offers an absolute financial protection against medical treatment expenses. The health insurance coverage pays the medical bills up to the sum insured as chosen under the policy.
Life Insurance Cover
A life insurance policy provides a life cover and it pays a sum assured amount to the nominee or beneficiary, in the event of unfortunate demise of the life insured during the term of the policy. If you want to ensure that your family members can maintain the present lifestyle, even after your demise. The sum assured payable on death helps your family to meet their financial expenses with ease.
Need for both Life & Health Policies
The sum assured under the life insurance plans (say, a term plan) is payable in the event of death of the policyholder. For other types of life insurance policies such as endowment policy, the maturity amount is payable at the end of the policy term on survival of the policy holder. Under money back life policies, a percentage of the sum assured at regular intervals is payable through the entire policy term plus maturity benefit at the end of the policy term. All the life policies come with a life cover.
A health insurance policy provides cover for treatment expenses incurred arising from any illness, injury, or other medical condition. A health plan provides cover for hospitalization expenses plus pre & post hospitalization expenses. You can also get cover towards maternity expenses, pre-existing illnesses, etc. as listed under the policy chosen.
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When it comes to financial planning, it is quite imperative to include both the insurance policies with appropriate coverage under your investment portfolio. Buying a health insurance policy is the best option to secure your health and to secure your life, you should bank upon a life insurance policy.
A health insurance policy helps you get access to quality medical treatment without any worries on the financial front. A life insurance policy provides a financial support for your family on your unfortunate demise. Getting a health cover along with a life cover is a right move to ensure complete financial protection for your family.