What Is the Correct Age to Buy a Health Insurance Policy?

What Is the Correct Age to Buy a Health Insurance Policy?

With increasing medical expenses, and a high chance of catching lifestyle diseases and accidental injuries, having adequate health insurance is important.

All these components can pose a serious threat to your personal finance. If an emergency leads to you or a loved one needing medical attention, the cost of specialised healthcare can drain your savings and might even put you in debt. In such cases, having a health insurance policy can come to your rescue.

A health insurance plan covers your medical bills, giving you financial relief. When you have a health insurance policy, you do not have to worry about the financial implications of any illness or injury. You will be able to afford quality healthcare without burning your pockets.

While a health plan is useful, what is the right age to buy it?

Many believe that a health insurance policy makes sense at older ages when the chances of health-related complications are higher. However, there is no right age to buy the plan. The sooner you buy it, the better.

Wondering why? Here’s why.

Why Buy Health Insurance at a Younger Age?

  • Wider Coverage

You are deemed relatively healthy and free from illnesses when you are young. As such, the insurance company allows a comprehensive scope of coverage without imposing coverage restrictions. You can opt for plans with a high sum insured and enjoy an inclusive scope of coverage.

  • Wait Out the Waiting Period

Almost all health insurance policies have a waiting period for pre-existing illnesses and specific illnesses like cataracts, fissures, appendectomies, etc. The waiting period ranges from 12 to 24 months, during which coverage is restricted.

When you are young, you might be illness-free. As such, you can easily wait out the waiting period and enjoy coverage when the waiting periods are over. For instance, when you don’t have diabetes, you can buy the plan and later, if you do get diabetes, the plan will cover you for the related medical complications. On the other hand, if you delay buying health insurance and buy it at a later age when you have developed diabetes, your condition will not be covered for the first few years. If you face any medical complication due to diabetes during the waiting period, you will incur out-of-pocket expenses.

  • Financial Security

A health insurance plan offers financial security for people of all ages. When you are young, you might be physically fit and healthy. But you may not be able to prevent unforeseen accidents, pandemics and other diseases.

Despite being young and healthy, accidents and unpredictable illnesses might happen and require medical attention. Thus, to cover this possibility, a health plan at a younger age is recommended. The plan will give you the financial security that you need in medical emergencies, whatever age you are.

  • Tax Benefits

Lastly, let’s not forget the tax advantage that health insurance plans provide. The premiums that you pay for the policy are allowed as a deduction from your taxable income up to Rs. 25,000 under Section 80D. If you are a senior citizen, the limit increases to Rs. 50,000. You can claim an additional deduction of up to Rs.50,000 if you also insure your parents under a health insurance plan.

This tax benefit helps you lower your tax liability and save tax.

Health Insurance at Older Ages

While buying health insurance at a young age is recommended, it does not mean that you can’t buy a health plan when you are older. While most health plans allow you to buy the policy till you are 65, some plans have no upper age limit. This means that you can buy them at any age. moreover, there are senior citizen policies too that are specially created for senior citizens.

The Bottom Line

Whatever your age, a health insurance plan is relevant at all stages. It is better if you buy the plan young, but if you haven’t secured coverage till now, there’s no time to waste. With lifelong renewals, you can get covered throughout your life and avoid financial hassles in medical emergencies.

So, assess your coverage needs and choose a suitable policy. Bajaj Allianz health insurance plans offer a wide scope of coverage that helps you minimise your out-of-pocket expenses. Explore Bajaj Allianz health insurance plans and secure yourself and your loved ones under a policy today for financial security.


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