Healthcare expenses have been significantly increasing in India. At this rate, healthcare is gradually converting into something very expensive. Healthcare is our basic right and should be accessible easily. But experiencing healthcare facilities is not easily affordable.

So, health insurance is a smart choice for individuals who want safety and security for their families. We all have a habit of saving up for future expenses. However, in most cases, the savings are not enough to meet the emergency medical expenses.So, it is best to invest in medical insurance.

A good insurance plan will offer financial benefits and coverage during medical emergencies. The main issue that may arise is the yearly renewal of the health insurance policy. So, the ideal solution in this case is to go for a long-term health insurance policy.

What Is a Long-Term Health Insurance Policy?

A long-term care insurance policy has a tenure year of 2- 3 years. It is the best alternative to health insurance plans that are only active for shorter periods like one year.

Why Should You Opt for A Long-Term Health Insurance Policy?

There are multiple benefits of getting a long-term health insurance plan. Some of the important ones are:

Hassle-Free and Smooth Renewal

A long-term health insurance policy keeps the policyholder protected for two to three years without the trouble of renewal. A short-term insurance policy has a yearly renewal plan, which can be a headache as you have to keep aside the premium amount.

A long-term policy is less troublesome. The policyholder does not need to worry about any medical expenses. They experience coverage for the next three years. One can stay away from the paperwork and not worry about any deadlines.

This is the perfect time to get an insurance policy as unknown and incurable diseases are rising at a steady rate. So, it is important to get yourself and your family covered.

Income Tax

A long-term insurance policy is very important for tax saving. According to the Income Tax Acts, the policyholder will enjoy a considerable tax deduction benefit on the premium amount if they have a long-term insurance policy. So, if you buy a medical insurance policy for yourself and your family, you will be able to enjoy tax deduction. This is a win-win situation where you can save taxes and protect your family from health conditions at the same time.

Discounted Premium

The main benefit that the policyholder can get from long-term health insurance plans at an early stage is paying low premiums. When you buy a long-term insurance plan, it means that you are getting the benefits at an early stage. Thus, the insurance company will charge a low premium amount as compared to the short-term insurance policies.

Long Term Health Insurance Policy May Cover Pre-Existing Diseases

A pre-existing disease or ailment is an important factor to consider while getting long-term insurance plans. A pre-existing disease is the one you are suffering from already when you are buying an insurance plan. Most insurance firms do not cover pre-existing diseases under their short-term policy. However, for long term health insurance policies, a few insurance companies offer the benefit of covering pre-existing diseases.

What Medical Situations Are Covered in A Long-Term Health Insurance Plan?

A long-time health insurance policy towards the following things:

  • Hospitalisation charges:The expenses of treatment in hospital related to disease, illness, accidents, surgeries will be covered under the policy.
  • Pre and post hospitalisation charges: The cost of treatment before and after going to the hospital will be covered under long term health insurance plans.
  • Day care procedure: The expense for minor surgeries like cataracts, tonsils will be covered as well.
  • AYUSH Treatment: Some insurance companies also cover expenditures related to Ayurveda, Yoga, Siddha, Unani and homoeopathy treatment.
  • Add on: The policyholder can also buy add-ons like maternity cover room rent waiver with their basic long-term insurance plan. These add-ons are helpful during medical emergencies.
  • Wellness program: The insurance company often conducts wellness programs that improve the overall health of the insured patient.
  • Critical Illness cover: A long term health insurance policy also covers the cost of treating life-threatening diseases like cancer and brain stroke.

FAQs - Frequently Asked Questions

Q1. Is the long-term insurance policy available for senior citizens?

No!Insurance companies do not offer a long-term insurance policy to senior citizens. This is because they are considered to be at high risk, and therefore the long-term insurance policy might not be offered to them. The IRDAI will hopefully come up with new plans in the future to approve these cases.

Q2. What are the various risks of not having health insurance?

Without health insurance coverage, you may face serious financial losses. For example, if you or a family member needs an emergency operation, you have to pay a lot of money from your pocket. This can empty all your precious savings. However, if you have an insurance policy and the member is covered under the plan, the insurance company will offer financial coverage and pay all the hospital bills.

Q3. How to choose the best insurance plan?

For choosing the right insurance plan, you may follow these six tips:

  • Look for the right amount of coverage.
  • Make sure that the premium is feasible.
  • Get family insurance over personal health insurance.
  • Choose a plan with lifetime renewability.
  • Compare quotes of different insurance companies online.
  • Check the network hospitals of the insurance company.

Q4. What should be the coverage amount of the long-term health insurance?

The health insurance coverage should at least be 50% of your annual income. Finance experts recommend a minimum health cover of Rs 5 lakhs.

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