- Date : 05/02/2023
- Read: 4 mins
Do you know the importance of personal health insurance during layoffs? If not, read this article
As the current global economic scenario remains uncertain, layoffs have become a reality for many. Some of the most globally respected and admired companies such as Amazon, Microsoft, Google, etc have announced layoffs. The recent job cuts have not only impacted the employment of thousands of individuals but also their access to health insurance benefits offered by their former companies. These layoffs have not hurt people financially but mentally as well. This has made it even more important to secure one's personal health insurance in the face of such a crisis. With health insurance companies providing comprehensive coverage, it is now more than ever that individuals must consider the importance of having personal health insurance for themselves and their families. This article covers in detail the needs and benefits of having a personal health insurance policy. This article covers the following aspects of personal health insurance policy:
- What is personal health insurance? What are its benefits?
- Should an individual opt for personal health insurance even if they have employer-sponsored health insurance coverage?
A survey conducted by Max Bupa Health Insurance about two years back has revealed that before the onset of the coronavirus pandemic in the country, only 10 % were interested in purchasing health insurance to seek protection against new age diseases. However, since then, 71 per cent of people now consider health insurance to be a necessity to combat unforeseen pandemics like this.
What is personal health insurance? What are its benefits?
Sanjiv Bajaj, Jt. Chairman & MD of Bajaj Capital Ltd, emphasizes the importance of personal health insurance in the current climate of the COVID-19 pandemic. Without personal health insurance coverage, individuals and their families would have to pay out of pocket for medical expenses, making it a difficult situation for anyone.
Personal health insurance is a type of insurance coverage that individuals should consider purchasing for themselves, apart from the medical coverage offered by employers. Personal health insurance benefits include income tax benefits, access to a wider range of healthcare services, greater flexibility in choosing healthcare providers, and potentially lower out-of-pocket costs. Additionally, personal health insurance plans allow individuals to tailor their coverage to their specific needs and budget.
It's crucial to be aware that personal health insurance plans can have significant differences in their coverage. It's essential for individuals to choose a policy that is both comprehensive and customized to meet their particular needs, potentially including coverage for pre-existing health issues, hospital stays, and alternative therapies such as Naturopathy, Homeopathy and Ayurveda. Keeping in mind that one's health is their most valuable asset, investing in a robust personal health insurance policy is a smart choice.
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Should an individual opt for personal health insurance even if they have employer-sponsored group health insurance coverage?
Having personal health insurance not only offers financial security but also gives peace of mind because one knows that in case of unexpected illness or injury, s/he is protected. Having personal health insurance in addition to employer-provided group health coverage can be necessary as employer coverage may not be sufficient for an individual's needs or may not include protection for certain illnesses. Individuals have the freedom to choose a personal health insurance plan that meets their and their family's specific requirements.
The importance of health care cannot be overstated, as job security is uncertain. A company that is good today may not be tomorrow. As the Honourable ex-President of India, Dr APJ Kalam, said, " Love your job but don't love your company, because you may not know when your company stops loving you."
Personal health insurance is a vital form of health care and protection against high medical expenses. With the right plan, individuals can have access to a wider range of healthcare services, greater flexibility in choosing healthcare providers, and potentially lower out-of-pocket costs in case of an illness or injury. Investing in personal health insurance is a smart move for anyone looking to safeguard themselves and their loved ones from unexpected medical costs. It would be apt to conclude “Personal Health Insurance is not an option but a necessity in today’s uncertain times.”