Many companies in India provide low cost health insurance to their employee and family members with no medical exam. If you are covered under this scheme then it’s time to read this article to understand the problem associated with this type of health insurance coverage.
As an individual you never know when you will be in need of health insurance coverage. We have seen employees frequently sifting from one job to another for better package or prospects. In those types of situations you lose health insurance coverage benefits after leaving your job from the present employer.
You can always take another health insurance from the future employer, but it takes time to get everything ready. If your insurance company has a policy of covering specific diseases after a specific period then you will be in deep trouble. Another problem is you will not be covered for the period starting from the date of leaving the job to the present health insurance coverage period of new employer.
In case of changing jobs or lay off or employer goes out of business or employer stopped paying insurance because of recession then you will be in trouble as anything happens during that period will not be covered.
Another problem with this type of health insurance coverage is your employer provides it at a low cost up to a specific policy value. That policy value may not be suitable for your requirements. For additional requirements you are required to pay a higher amount to the insurance company.
When you are young and single your health insurance policy will cost you less as long as you continue it. After 35 years, when you take a new health insurance policy with the employer or on your own it becomes expensive and after 50 years it becomes more expensive. So we urge you to take your own policy at young age and continue it instead of being dependent on your employer’s health insurance policy.