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Healthcare Costs Are Rising. How Health Insurance Can Help You?

Team AckoJan 17, 2024

Healthcare costs are sky-rocketing, and the current pandemic situation has fueled the inflation of medical care costs in India. Not being able to avail high-quality medical care due to poor financial conditions is one of the common situations in the country. A health insurance plan can help to cope up with such scenarios. There was a time when health insurance was regarded as a luxury. But with the increase in medical treatment costs and the ongoing pandemic, health insurance is a necessity for every individual. This article will throw light on the importance of health insurance in coping with the ever-increasing costs of healthcare.

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Contents

Rising Healthcare Costs
- Reasons for Rising Costs of Healthcare
How Health Insurance Helps Fight Healthcare Inflation?
- Benefits of Health Insurance
- In a Nutshell

Rising Healthcare Costs

Now, the first question on your mind would be, why are healthcare costs increasing despite the emergence of advanced technology? The advanced technology has only reduced the time taken for certain medical treatments, but the costs continue to creep up. In India, the rate of medical inflation stands at 15% per annum compared to 6-7% overall inflation per year. Below are some of the reasons for medical inflation in India:

Reasons for Rising Costs of Healthcare

Below are the reasons for the double-digit medical inflation rate in India:

The cost of special medical equipment and advanced technology involved in treatments are passed on to the patients.
Scarcity of experts who are qualified to use advanced medical equipment and robotics.
Patients opting for higher category hospital rooms and extended hospital stay, depending on the health condition of the patient.
Shortage of specialist doctors and surgeons in a particular field.

How Health Insurance Helps Fight Healthcare Inflation?

Gone are the days when health insurance, was expensive and offered limited benefits. Today, insurance companies are offering a wide variety of health insurance policies that come with a host of benefits. A good medicare insurance plan provides comprehensive coverage, secures your health, financial future, and gives you peace of mind.

The rate of medical inflation in India is rapidly increasing, and the current pandemic situation has further boosted the rise in medical care costs. Now, you already know the reasons behind healthcare inflation and also the importance of health insurance.

So, how does medicare insurance help you to cope with such a high rate of medical inflation? The answer is simple. A health insurance plan provides financial backup in case of medical emergencies. But it’s not just the financial support. A health insurance plan also comes with a host of benefits.

Benefits of Health Insurance

Below are the benefits of a good health insurance policy:

Provides Financial Cover: With the rapidly increasing costs of medical care, the chances of exhausting your savings are high if you are availing of medical treatment. But with a health insurance policy, you can manage the medical expenses without spending your savings. No matter how high the medical care costs are, a medicare insurance policy will provide you with the financial backup in difficult times.
Comprehensive Coverage: A health insurance plan comes with several coverage benefits that cover pre and post-hospitalization costs, domiciliary hospitalization costs, ambulance costs, etc. Some insurance plans even provide daily hospital cash cover to manage other expenses such as travel, food, etc. A health insurance policy can save you from a lot of hassle if you are finding it difficult to manage the medical expenses.
Critical Illness Cover: The cost of treatment of critical illnesses such as heart attack, organ transplant, cancer, etc., has always been on the higher side. Managing your finances can be a tough task if you are availing of treatment for any life-threatening diseases.

But with a Critical Illness Insurance cover, you need not worry about healthcare inflation. If you are diagnosed with a critical illness, the insurance policy provides you with a lump sum amount equal to the total assured amount. You can use the fund for medical treatment and other financial needs.

In a Nutshell

Quality healthcare is one of the basic needs of every individual. But unfortunately, most individuals do not give importance to medical needs in the process of meeting their other livelihood requirements. But when there is a medical emergency, your whole world turns upside down. You often find it difficult to manage medical expenses with the rising costs of healthcare.

In such situations, health insurance can be your support. Investing in a good health insurance policy is a must, given the rapidly rising healthcare costs. You need not worry about the increasing medicare costs if you are covered by a medicare insurance policy. If you are still thinking about buying a good health insurance plan, it’s high time you get one to cope up with the healthcare inflation.

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