It’s that time of year again. Time to renew your health insurance policy and make sure you and your family are covered for the next 12 months. But should you just buy another one-year policy, or should you consider a multi-year plan? A better option is to buy a multi-year health insurance policy. In this blog post, we will discuss why you should buy a multi-year health insurance policy for yourself and your family.
Let’s take a look at these reasons.
1. Minimal Paperwork
One of the best advantages of this policy is that it requires very little paperwork. In most cases, you must renew your policy online or through your insurance company’s mobile app. This means you can avoid the hassle of filling out lengthy paper forms.
The multi-year health insurance policy also provides some peace of mind. You know that medical bills can add up quickly if you have a family. A multi-year policy can help protect your family from financial ruin in a serious illness or accident.
2. Hassle-Free Renewal
The process of renewing your health insurance policy is simple and hassle-free. You can easily renew health insurance online without any trouble. This is one of the primary reasons why people prefer to buy a multi-year health insurance plan.
3. Tax Exemptions
One of the key reasons you should buy multi-year health insurance is the tax exemptions that come with it. By investing in a long-term health insurance policy, you can avail of various tax deductions and benefits that can help you save money in the long run.
Under Section 80D of the Income Tax Act, you can get a deduction of up to Rs.25,000 for premiums paid towards medical insurance plans for yourself, your spouse, or your dependent children.
4. Fixed Premiums
One of the most attractive features of this plan is the fixed premium. This means that your payments will not increase until the end of the tenure, no matter how much medical inflation increases.
This contrasts traditional health insurance plans, which typically have annual renewals. Every year, your premiums could go up by as much as 20% or more, depending on the rate of medical inflation and the insurer’s claims experience.
The Bottom Line
So, we’ve looked at why buying multi-year health insurance can be a good idea. In short, it can save you money and provide peace of mind. Consider a multi-year policy if you’re looking for medical insurance for your family, renewing your health insurance, or simply exploring different medical insurance plans. It may be just what you need.