Health Insurance For Retirement: 5 Reasons Why You Should Not Ignore It

Virendra Kumar, 65, always imagined his retirement as a time of relaxation and adventure. After decades of hard work, he wants to travel the world, spend more time with his family, and pursue hobbies he had long set aside. He thought all these goals entailed a happy retirement, but a conversation with one of his retired colleagues changed his perspective. “Virendra, have you thought about your health insurance post-retirement?” his former colleague, Suresh, asked him.

Suresh, who had to make doctor visits on and off for one trouble or another, tells him how a comprehensive health care plan made all the difference in securing his retirement. Though good planning cannot always ensure a happy and peaceful retirement, being prepared will go a long way. One essential factor of this plan is maintaining health insurance even after retirement.

Five Reasons Why You Need Health Insurance Post-Retirement

1. Increased Medical Expenses:

Past a certain age, your healthcare costs tend to increase. Given the rising medical costs, a visit to the hospital can eat a big chunk out of your retirement savings. A comprehensive health insurance plan can ensure a good quality treatment without burning a hole through your pocket.

2. No Regular Income:

Now that you won’t have a regular income, any medical emergency could drain your savings sooner than anything else. A health insurance plan would ensure you can tackle any such situation without putting your savings at risk.

3. Cashless Cover During Emergency:

Any sudden hospitalisation involves multiple paperwork and urgent fund requirements. But with the right healthcare plan, you receive cashless treatment wherein the medical/hospital bills get directly settled by your insurer. Rather than worrying about the paperwork, you can concentrate on your health and treatment.

4. Family Cover:

Even after retirement, you still have a family, most importantly your spouse, to look after. This is crucial in a situation where one of you is possibly a homemaker, and the other is the sole-earning individual of the family. If you choose a senior citizen health insurance plan, you can also include your spouse and other family members. You can save more by covering your whole family under a comprehensive plan. 

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5. Tax benefits:

Did you know your health plan could not only benefit you during a medical emergency but may also open a way for you to save on taxes? Section 80D of the Income Tax Act exempts the premium you pay for your health insurance plan. As a senior citizen, you can save up to Rs 1 lakh if you pay the premium for yourself and your parents.

Health insurance is an essential component of a secure and healthy retirement. It addresses the increased medical needs that come with age, helps manage rising healthcare costs, covers the gap of no active corporate health policy, protects against unexpected health emergencies, and supports preventive care and wellness services. By maintaining comprehensive health insurance coverage, you can ensure that your healthcare needs are met without compromising your financial stability, allowing you to enjoy your retirement with peace of mind.