Understanding health insurance

Health insurance is a policy that helps pay for your medical expenses whether you become sick, injured or require any medical services such as preventative care.

Rather than bearing the full cost of healthcare services, the insured benefits from the insurance provider covering a significant portion of the expenses.

As with other types of insurance, the policyholder is required to pay a regular premium.

Additionally, when accessing healthcare services, the policyholder may be responsible for a small out-of-pocket cost, referred to as a copayment or deductible.

Why is it important to purchase health insurance? You cannot buy car insurance after a crash. Similarly, once you are ill or injured, it is often too late to purchase health insurance as you may not be deemed insurable. In some cases, if approval is given, some exclusions will apply. For example, if you are a diabetic and would like to purchase health insurance, it is highly likely that diabetes would be excluded from coverage.

How can health insurance help you save?

Health insurance provides quick and convenient access to high-quality medical services, enabling early detection of potential illnesses.

For example, individuals with health insurance can access diagnostic testing at private healthcare facilities without the long waiting periods often experienced in the public sector. By facilitating timely care, health insurance helps prevent minor health concerns from developing into more serious and costly conditions.

How expensive is health insurance?

There are various types of health insurance plans available, each offering different levels of coverage and deductible options.

This allows individuals to select a plan that aligns with their budget and, if needed, upgrade their coverage as their needs or financial circumstances change.

Many plans also offer benefits like maternity coverage, dental, vision and psychiatric care.

Why do I need health insurance?

Health insurance protects your savings and assets, helping you maintain your standard of living while you recover from an illness or injury.

In the case of a critical illness, your ability to earn an income could be significantly reduced.

Health insurance ensures your financial foundation remains secure, allowing you to focus on recovery without the added burden of financial strain.

Is there a family plan for health insurance?

Yes, many health insurance plans allow you to add your spouse and children, providing comprehensive coverage for your entire family and ensuring that everyone is protected under a single policy.

Think of it like this – It's like paying a small amount regularly to protect yourself from having to pay a huge amount later if something bad happens.