I have been writing about the various aspects of health insurance which briefs about
a. The medical inflation and the amount one needs to consider for coverage
b. Your cash flow and the possible recovery in case of a claim
c. How it is different from Life insurance
d. I had earlier mentinoed about the features you must consider while taking a health insurance policy.
Now there are few people, who consider not taking a health insurance policy. Therefore I thought of writing under what conditions, you need not take a health insurance.
1. If you are rich, you don’t need a health insurance.
After all , health insurance is to cover your financial losses. If you are rich enough to pay for the medical expenses that may arise for your family, you don’t need a health insurance. Industrialist like Birlas, Amabani’s don;t need a health insurance.
How do you check that?
If you can afford 5 crores and your net worth is not pinched then you can be rest assured that you don’t need a health insurance
2. If you are covered under schemes like CGHS, you need not take health insurance.
CGHS is a scheme of the central government which provides health care for central government employees even after retirement. If you are covered under this you can opt not to take health insurance.
However please keep in mind that you will have to undergo treatment only in designated hospitals and you cannot choose the hospitals for treatment.
3. If you are working in a company, with no retirement, and if the company takes care of all your expenses for medical treatment.
You can be director on board
4. If you are among the 5% of the people who die unnaturally in India
There are approximately 730 people who die for every one lakh people and this works out to approximately 90 lacs death in a year.
Of this only 5 lacs ( approximately ) die due to unnatural deaths.
1.28 lacs due to suicide
1.8 lacs due to road accidents
19 710 due to fire accidents
3,650 in prisons
others in Rail, Air and stampedes etc
Most of these unnatural deaths are instantaneous and hence no hospitalisation is involved.
If you are not covered in any of the above four categories, you must seriously consider taking a health insurance policy which will ensure
a. Quality of treatement
b. Minimise financial losses
c. Reduce your liabilities due to less or no borrowings.
It is better to borrow and pay the premium than to borrow for the treatment which is very costly and may not be affordable.
As usual I am there to help you choose the right policy and cover for you and your family