It has become an unspoken rule that when you buy a health insurance plan for yourself, it almost equals increasing the number of years in your lifetime. Since, when you buy health insurance it not only pushes you to be more healthy but also helps you maintain a stress-free and happy life.
Health insurance is not a magic stick that can mysteriously give you security and well-being, but it can be something that strives to ensure those things in your life. That is why buying health insurance is of the utmost importance in everyone’s life.
However, despite knowing the potential benefits of health insurance plans, some people still get confused about how a policy actually works in real life and what age is the best to buy health insurance.
It is true that health insurance plans cost less at a young age and much more when you are in your later years, but does that mean if you buy health insurance at a young age will be most beneficial? Or opting not to purchase it at all when you are in your elderly years will be wise? The answer is not exactly right and wrong but can differ from person to person, and that is why in this article we will try to explain each and every aspect of it.
Why Age Matters for Health Insurance?
When you buy a health insurance policy we often get to hear how age influences the premiums of health insurance plans and why people should get it at a younger age. Generally, age matters for health insurance policies as any individual’s age determines how susceptible he/she is to catching an illness or injury.
It is obvious that younger individuals are less likely to develop Arthritis or Cataracts as opposed to older individuals who will be more susceptible to these ailments. That is why the higher premiums in the case of older people.
Furthermore, older people, as they age, tend to visit hospitals and doctors more often than their younger counterparts. Also, the ailments they would be diagnosed with often do not resolve over time which means continuous hospital visits and continuous claims on policy.
On top of that, older individuals also require more preventive care than younger people, which often includes vaccinations, preventive medicines, or regular checkups.
Lastly, we have to understand how insurance works. It works by pooling risk, where people invest their money into a single pool. Individuals wh are at a low risk of injury or illness susceptibility subsidize the ones who are more susceptible. This essentially means that older people who are categorized as a high-risk group will have to pay more on the premiums to make the pool function efficiently.
Advantages of Early Enrollment in Health Insurance
Generally speaking, if you buy a health insurance policy at a younger age could be the best investment opportunity you could avail in your early years. However, it is necessary to know that there may be individuals who would be skeptical about investing in a health insurance policy in their youth which is completely understandable. This is because different individuals sometimes can have varied needs, and thus we will discuss that specifically in this section.
Lower Premium Rates: One of the obvious advantages that a person can get is getting a lower premium rate as opposed to anyone not in the age bracket. However, this is also not so straightforward, as there could be reasons why even younger people can pay more for their insurance premiums. The reasons for the increased premium rates can be bad lifestyle habits, obesity, smoking, drinking frequently, and even rash driving records.
No Medical Checkup Before Policy: When applying for a health insurance policy, individuals are required to undergo medical checkups for the company to assess their medical condition based on which their premiums are fixed. However, in the case of younger individuals, there are many policies in the market through which individuals can opt out of the pre-medical checkup. On the contrary, such an option is not available for individuals who are above the age of 45.
Short Waiting Period: It is crucial to know that every health insurance policy has a built-in waiting period at the start of the policy, which can range from 1 month to 3 years in extreme cases when individuals can not make any claims. However, in the case of younger individuals, this waiting period is very short, which can be a maximum of 1 month. Thus, individuals will not face any difficulty in this case and can wade through the waiting period very easily.\
Health Insurance Options for Different Life Stages
As discussed earlier, various times buying health insurance at different stages of their lives will result in different policy benefits and drawbacks. Also, there must be a compelling question: “Can I buy health insurance with a pre-existing condition?”. Well, we will discuss that in detail in this section.
Health Insurance for people in their Thirties: These types of health insurance plans are specifically designed for people who have families, have just embarked into their married lives, and possibly have very young children. This insurance thus covers the children and comes with the option of maternity benefits.
Health Insurance for people in their Forties and Fifties: People in the specified age bracket can opt for insurance options with the highest coverage. This is because this is the time at which individuals have the highest financial obligations including the college and schooling expenses of their children. Furthermore, opting to tailor your policy to include ailments like diabetes, high or low blood pressure, or gastro problems will be beneficial in the long run.
Health Insurance Plans for people who have turned 60: People in this age bracket may need to pay a large sum for their premiums. Further, this is when individuals in this age bracket face the harshest ailments, which can also lead to hospitalization. Thus, opting to go for standard health insurance is not advisable at this age, rather look for policies that have senior citizen coverage, which also have facilities like organ donor expenses and local hospitalization.
Conclusion
You buy a health insurance policy at a younger age because of its potential cost and policy benefits. Choosing an appropriate age for a policy is not feasible. It may require careful consideration before buying health insurance to determine if a health insurance policy suits you at your age.
Frequently Asked Questions (FAQs)
