Retirement planning should be on the priority list of people, especially those who think that it is time to take their retirement. Have you thought that without adequate health insurance coverage for all the family members, your life savings could end in a jiffy to meet the hospital cost. By paying a portion of the coverage amount as premium, you can ensure that the insurer will cover your hospitalization expenses, thereby eliminating the need to use up your retirement corpus.
A recent survey report by Bajaj Capital, an investment services company, suggests that three out of four Indians retiring in the next 18 months will not have adequate coverage and intend to increase the coverage amount. Further, while 75% of the respondents reported lack of adequate coverage for themselves, almost 39% of them also felt that they did not have any health insurance for their spouse.
The need to increase health insurance coverage is being felt especially in view of the ongoing pandemic. The rising cost of hospitalization is working to make retirees aware that lack of adequate coverage will not help them in times of need.
Vishwajeet Parashar, EVP and Chief Marketing Officer, Bajaj Capital said, “The survey has brought to the fore the fact that medical inflation is becoming a major concern for those who have retired or are going to retire at some point in time. are about to happen. Although there is no fixed rule to decide the mount of coverage, the amount of coverage can be decided based on the city you live in and the hospitals in that area. Having the right coverage and buying the right health insurance is the key for retirees to secure their savings.”
What to do?
Everyone should buy a health insurance policy at the earliest. By doing this you can avoid situations when you may be denied the policy. This is because most of the insurers may decide not to issue the policy if one is diagnosed with serious diseases like cancer or heart attack. If this happens then you are left with no option but to bear the health care cost from your savings. To avoid this situation, take health insurance at the earliest. Even having a corporate health insurance policy does not help in the long run as you will be left without coverage on the day of retirement. It is always advisable to take health insurance for yourself only when you are young and healthy.
Hence, retirees need to take a closer look at their health insurance portfolio to make sure that all the front risks are covered. Having a basic health insurance policy, one can think of getting a critical illness plan for additional financial security.