Why health insurance is a smarter choice than just wellness plans
Staying healthy is everyone's goal. With gyms, fitness apps and wellness subscriptions, people believe they are protecting their health adequately. But are
wellness plans
enough? What happens when there's an unexpected hospitalisation or a major surgery? Here's where
health insurance
becomes crucial.
What are wellness plans?
Wellness plans are packages that encourage healthy habits. They may offer:
Free gym memberships or discountsRoutine health check-upsAccess to dieticians or fitness coachesDiscounts on wellness products
These plans are great for promoting a healthy lifestyle, but do not cover hospitalisation or medical emergencies.
What is health insurance?
Health insurance is a contract that covers your medical expenses in exchange for a regular premium. A standard plan generally pays for:
Hospital billsSurgeriesDoctor consultationsMedicines and diagnosticsPre-and-post-hospitalisation expenses
Key differences between health insurance and wellness plans
AspectWellness plansHealth insuranceCoveragePreventive careHospitalisation and treatment costsEmergenciesNot coveredCoveredCostOften lowerVaries with coverage and ageTax BenefitsNoEligible for tax deductions under Section 80D
Why health insurance is essential
1. Covers high medical costs
Medical inflation in India is rising at about 14% annually. A single hospitalisation can cost lakhs of rupees. Wellness plans don't cover this.
2. Financial security
An unexpected illness can drain savings meant for children's education or other goals. Having individual health insurance or a family floater plan means you don't have to tap into savings or borrow money during emergencies.
3. Offers tax benefits
Premiums paid for health insurance qualify for tax deductions under Section 80D of the Income Tax Act. This helps you save while staying protected.
4. Broader network of hospitals
Insurance providers often have a wide network of hospitals offering cashless treatment. This convenience is not available with wellness plans.
5. Covers pre-existing diseases
Many health insurance policies cover pre-existing illnesses after a waiting period, making long-term treatment more manageable.
6. Additional benefits
Modern health insurance plans come with wellness perks, too. These include:
Free annual health check-upsDiscounts for maintaining healthy habitsRewards for fitness milestones
So, you get both treatment cover and preventive care under one plan.
When wellness plans make sense
Wellness plans are not useless. They are excellent add-ons for:
Encouraging regular health monitoringMaintaining fitness goalsGetting discounts on non-critical health services
But they must not be mistaken for a replacement for health insurance.
How to choose the right health insurance plan
When buying health insurance, keep these points in mind:
Assess your needs: Age, family medical history, lifestyle.Check coverage: Ensure it covers hospitalisation, daycare procedures and critical illnesses.Know the exclusions: Read the policy wording to understand what's not covered.Network hospitals: Opt for insurers with a wide cashless network.Claim process: Look for a quick, hassle-free claim settlement.
Tips to get the best from your health insurance
Renew your policy on time to avoid losing benefits.Increase coverage with top-up plans.Use preventive health check-ups provided under your policy.Be honest to avoid claim rejections.
Conclusion
Wellness plans are great for staying healthy, but fall short when life takes an unexpected turn. Pairing them with a reliable health insurance policy gives you complete peace of mind. It safeguards your savings and ensures you and your family get the best care without financial stress.
Disclaimer - The above content is non-editorial, and ET Healthworld hereby disclaims any and all warranties, expressed or implied, relating to it, and does not guarantee, vouch for or necessarily endorse any of the content.
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