2. When should I purchase a Health Insurance Plan?

Health Insurance Plans offer a cover that helps you meet the costs of medical emergencies. Since such medical emergencies can occur at any point in life, it is always a good idea to invest in Health Insurance policies as early as possible. Ideally, it’s a good idea to purchase a Health Insurance plan when you’ve landed your first steady job. That way, you can promptly pay your premiums when they are due, and you can enjoy the benefits of a medical cover too. 

3. What does Travel Insurance cover?

Travel Insurance covers a host of insurable incidents. The exact roster of instances varies from one plan to the next. But broadly speaking, here’s what you can expect a Travel Insurance plan to cover:

• Personal accident cover
• Hospitalisation expenses
• Trip delays, cancellations or interruptions
• Loss or damage to baggage checked-in
• Loss of passport 

Some Travel Insurance plans have exclusive clauses that specify how events like accidents sustained in adventure sports may not be covered. It’s best to read the terms and conditions to know exactly what incidents your Travel Insurance plan includes.

4. Are there any tax benefits associated with Health Insurance?

Yes, Health Insurance does offer tax benefits to the investor. Specifically, Section 80D of the Income Tax Act, 1961, allows the premiums paid for Health Insurance plans to be deducted from the total income of the Assessee. This has the effect of reducing the total taxable income, thereby reducing the tax burden. The limit of deduction depends on whom the policy is purchased for (whether for self, family or parents), on the age of the purchaser and on the age of the parents. Senior Citizens get higher limits of deduction.