In today's episode of 'Invest Smart,' we delve into the world of health insurance, an essential topic when it comes to safeguarding your financial future. Health insurance can be a complex subject, but Lovaii Navlakhi MD & CEO of International Money Matters will simplify it for you.
In this conversation with Avni Raja, Lovaii highlighted a significant shift in people's perception of health insurance, especially after the COVID-19 pandemic. There's now a greater emphasis on protecting the entire family and being financially prepared for unforeseen medical expenses.
Before buying health insurance, Lovaii advises assessing the level of coverage you need. Contrary to common belief, younger individuals should consider substantial coverage as it remains fixed and doesn't adjust for inflation.
Assess the type of coverage, schemes available, deductibles, co-payments, advanced treatment coverage, and exclusions. Additionally, consider the network of healthcare providers and past claim settlement records.
A survey conducted by Acko reveals that over 60% of people have health insurance coverage of less than 10 lakh rupees. Lovaii believes this amount is insufficient, citing an example where a medical treatment cost ₹32 lakh. He suggests considering a minimum coverage of ₹50 lakh due to rising medical costs.
Lovaii emphasizes the need for an individual health insurance policy alongside corporate coverage. He says personal policies ensure continuity of coverage and cover pre-existing illnesses.
Regarding family coverage, Lovaii recommends considering a tiered structure that includes individual policies, family floaters, and super top-ups for cost-effective coverage.
Health insurance is no longer a luxury but a necessity. To make informed decisions, assess your family's medical history, calculate potential expenses, and choose comprehensive coverage, Lovaii added.