When it comes to health insurance, age is not just a number. It is one of the essential factors in determining the kind of terms when you buy health insurance. While Private Health Insurance in the UK offers reasonable terms, those too can be improved if you buy health insurance at a young age.
With the prevalence of a sedentary lifestyle, coupled with the deteriorating health of the environment, it’s prudent to realize and accept that while our health may be perfectly intact now, that’s not going to be the case as we age.
It makes financial sense to buy health insurance. Here are ten reasons why you should buy it sooner:
Waiting period
When you buy health insurance, there is a stipulated period known as the waiting period, which ranges from 60 to 90 days, during which you cannot make any claims.
The waiting period will pose no problems if you buy health insurance at a young age, for you will probably breeze through this stipulated period without any medical emergency. However, the longer you wait to buy health insurance, the more concerning such a waiting period will become.
Premium
Usually, the premium is calculated based on your age. The earlier you buy health insurance, the lower the premium you will have to pay. This will work out to be highly cost-effective in the long run.
No claims bonus
If you make no claims in the preceding year of your policy term, most insurance providers offer a ‘no claim bonus that increases your coverage amount. One of the significant benefits of buying health insurance early is that your bonus will accumulate over the years, significantly increasing your coverage amount.
Comprehensive coverage
One of the primary reasons to buy health insurance early is comprehensive coverage. Then, when you have age on your side, you will be offered holistic coverage and get greater security even after retirement.
Age limit
Health insurance policies come with an upper age limit that becomes worrisome as you age. Since the risk that insurers undertake in insuring older individuals, the premium, too, is higher. However, you can completely rid yourself of such worries if you buy health insurance now.
Pre-existing conditions
Most insurance providers exclude pre-existing conditions or have long waiting periods that stretch up to 4 years in some cases. This, in essence, beats the purpose of buying health insurance, which is why it’s best to buy health insurance early when you’re in the prime of your health.
Availability of choices
One of the most important benefits of buying health insurance early is choosing from more comprehensive options. You don’t have to settle for less-than-ideal terms. In addition, with age on your side, you have the leverage to secure a plan that best suits your needs.
Reduced chances of rejection
When you buy health insurance at a young age, you have decades of money-earning and healthy years ahead of you. Just the kind of situation that’s beneficial to insurance providers, and hence the chances of your health insurance policy getting rejected are close to nil.
Financial planning
Medical emergencies wipe away savings in an instant; however, if you buy health insurance at a young age, you will be able to save on such heavy expenses and utilize those funds for long-term investments.
Tax Benefit
Under section 80D of the Income Tax Act, 1961, the premium paid on health insurance is tax-deductible. The earlier you buy health insurance, the more tax benefit you can enjoy.
The longer you wait, the more your health will deteriorate, which means reduced benefits and an increased financial burden. To avoid this, make use of your age which acts as an asset in your younger years.
In addition to insurance, you can avail of easy financing at a young age to help you reach your life’s milestones earlier. Bajaj Finserv offers various pre-approved loans, and you can check your offer in a few minutes by providing some basic details.