Importance of Health Insurance for Individuals in the 20s


Importance of Health Insurance for Individuals in the 20s

India has a larger population engaged massively in the Indian workforce. The eldest millennials are approaching their 40s, and the youngest is close to 24. No doubt that at this point, when they are in the prime of their lives, most of them are typically healthy, but, they will soon be getting old. This means they will be experiencing some health issues. This phase is very crucial as an individual has to make significant financial decisions that can significantly affect his future. And one of the key decisions is to invest in the right health insurance plan, that too at the right age.  

A trip to the hospital can eat up your long-term savings in no time. Even now, many may not be aware of the long list of benefits of opting for a health insurance plan at an early age. While there is no dearth of making excuses for not having health insurance, a health policy is the foundation of each and every financial plan that you make. Not having one can put you in a serious financial crisis and throw you off track in achieving your financial goals.

A healthcare emergency can arise anywhere, anytime, and thus, being prepared is the best way forward. 

12 Reasons You Need to Buy Health Insurance at Your Early Age 

Here, we bring some of the top reasons why an individual should opt for health insurance in their 20s:

1. It’s Going to Cost Less

Typically, the general thumb rule of health insurance is that the younger you are, the lower would be your premium. For example, at 25, the cost of a 5 lakh health plan would be around 5,000. The same would cost you around 8,000 to 10,000 when you turn 45.

2. You’ll have a Wide Range of Choices

As at this age you’re less prone to illnesses, the health insurer may consider you as a person with low risk-appetite. Thus, can offer health insurance policy at competitively lower rates. You can have the flexibility to renew the health insurance policy with lower premiums, easy completion of the waiting period, etc. If not, one can even consider buying a family floater at a lower premium as well.

3. You can Protect Your Savings

Studies show that nearly 85% of people opt for health insurance before they turn 30. With the increasing medical expenses, the youth today are mindful of their health and hard-earned money. With the right health insurance plan, you can easily save lots of money that you might need to spend for medical emergencies. If you are the only earning member in the family, then you must opt for a family floater health insurance plan to secure them. Keep in mind that a health insurance plan can safeguard most of your future financial plans. 

4. You can Avail of Tax Benefits

Opting for a health insurance plan can also help you to avail tax benefits. The premium paid against health insurance plans for self, family, and senior citizen parents is eligible for tax benefits under section 80D of the Income Tax Act of 1961. It reduces your taxable liability from an early age and helps you save a lot more.

5. Can Avoid an Inactive Lifestyle 

With the onset of a  sedentary lifestyle, growing number of health issues are common. An inactive lifestyle has ruled the lives of many, which increases the chances of lifestyle diseases.  As a new-age feature, health insurers these days offer additional perks for maintaining a good health. This eventually encourages one to follow a healthy lifestyle.

6. You will Negate the Waiting Period Early 

Health insurance plans have a waiting period of 30 days to 4 years, in which claims are not allowed. Hence, when people opt for a health insurance plan in their 20s, they get enough time to serve this period properly by the time a claim arises.  However, the best practice is to choose health insurance plan with the lowest waiting period. 

7. Rejection of Insurance Application is Higher among the Older People 

People in their late 40s or 50s might find it a little difficult to acquire a comprehensive health insurance plan. The health issues are common at this age, hence, the insurance rejection is quite possible.

8. Your Corporate Health Plan may not Suffice the Need 

A corporate or group health insurance plan is indeed a great initiative by the employer. Still, with the ever-increasing healthcare costs, do you think it would be enough?

Of course not!

Though the employer-owned policy offers insurance coverage but the coverage is very limited that you can’t combat the hefty medical bills. Also, the policy ceases immediately the moment you leave the organisation. So, buying a separate policy early at your age will definitely help you manage your finances.     

9. You can Cumulate Alluring  Rewards and Bonuses

By keeping yourself from claiming the insurance policy, you can save enormously on health insurance premium. Every insurer offers no claim bonus for not claiming insurance where an increment in sum insured up to 20-50% can be availed for every subsequent year. A maximum of 100% NCB can be claimed depending on the insurance company. It is believed that at an early age the possibility of claiming health insurance is very low thus, availing NCB benefit is higher.  

10. Health Insurance is more than Hospitalisation Coverage

Have never had to face a medical emergency leading to hospitalisation?

Well, you’re lucky enough! 

However, you can’t predict the future. All you can do is to prepare for the worst. Buying health insurance at your early age is exactly what you are doing to protect your savings. With a health plan you can cover yourself against unforeseen events leading to multiple hospitalisation expenses such as nursing care, OPD costs, ICU, OT expenses, medicines costs, ambulance charges etc. 

11. Ensure Peace of Mind 

Considering the rising inflation rates, even a one-day stay in a private hospital can wipe out your savings. Having a health insurance plan at place you can stay in peace while your unplanned medical expenses are taken care by the insurance company. 


Living in the 20s is the most crucial stage of an individual’s life. Hence, it is important to opt for health coverage at an early age to enjoy maximum benefits. The occurrence of any ailment can neither be predicted nor be always prevented. However, being prepared for such a situation is what is doable and in our control. It is highly recommended that you opt for the right coverage at the right age and keep yourself and your loved ones prepared for the future.

If you are looking for health insurance in your 20s, you can consider health insurance policies from Care Health Insurance. We offer various health insurance options suitable to different individual requirements. Care Plus- Youth Plan, Care Advantage to name a few which you can consider for comparing. 

>> Also Read: Know These Hidden Ways Your Health Insurance Policy Covers You

Disclaimer: Please read the brochure and prospectus to know more about our health insurance plan cover as conditions may vary.

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