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Effective risk management with health insurance
by Alton Duke Health InsuranceIn normal parlance, insurance stands for security against unpredictable future contingencies. For an average consumer it reflects as a tool to negotiate the intricacies of life with a bit more flexibility. Health insurance for example is a segment which effectively communicates with a large population demographic by virtue of its sheer usability. In line with the effectiveness, insurance plays a pivotal role in nullifying the risks involved with mortal life.
The urban and semi-urban lifestyle of today is prone to augmented complications thanks to a more object oriented psychology. In other words, the common man is more prone to lifestyle induced risks now than even a decade ago. While the no-life segment or in other terms general insurance covers almost every aspect of human life, the health insurance keeps its stress firm on the most important of them all- health! Lifestyle induced risks need the healing touch (often monetarily) of insurance. This is exactly where the effectiveness of health insurance as a risk management tool comes into play.
Knowing the risk before it even occurs
This is the most important part which only the applicant can best scrutinize. One must be able to zero in and pinpoint the risks which can crop up in their future. It is often in individual interest that one opts for a health insurance. While the ailments to health might not be always reduced or even mitigated, health insurance does comply as a valid ally for minimizing the monetary burden. It is to be noted in this reference that health insurances are not really opted for from an annuity securing mindset. In other words it’s not the de-facto investment tool. What makes it an effective risk management tool is that it negates the monetary impact of the medical mishaps.
While general insurance deals with creating a corpus for the future, health insurance necessarily limits itself to negating the effect of unfavorable health. With impetuses from diverse corners, the insurance industry is blooming in recent years. Recently the Union Cabinet hiked the FDI on insurance from 26% to a much encompassing 49%. The need of security against unforeseen contingencies drives an individual to seek refuge under health insurance. What they necessarily seek in this regard is the safety net to guard against financial depreciation. The sense of security that comes from being insured, results in better productivity as well.
Health insurance’s role in wealth management
An insurance ceases to be effective if it fails negate the financial pitfall. In this context the best health insurance plan in India are attributed with financial impetus. While many might think that the investment in health insurance goes to waste if nothing serious occurs to the life insured, they are wrong. With the term plans coming into play, the returns are quite high when compared to other avenues. In other words it can be seen as a valid source of appropriating current income for future usage. The small amount paid as premium comes back as major monetary support during need. This often overshoots the initial investment in many scenarios. Health insurance as a wealth management tool is thus a quite valid concept.
Author Bio: The author is a seasoned web journalist with a penchant for the money market and equity instruments. His insights are well received by the industry experts. For more information, visit http://www.121policy.com/.
The urban and semi-urban lifestyle of today is prone to augmented complications thanks to a more object oriented psychology. In other words, the common man is more prone to lifestyle induced risks now than even a decade ago. While the no-life segment or in other terms general insurance covers almost every aspect of human life, the health insurance keeps its stress firm on the most important of them all- health! Lifestyle induced risks need the healing touch (often monetarily) of insurance. This is exactly where the effectiveness of health insurance as a risk management tool comes into play.
Knowing the risk before it even occurs
This is the most important part which only the applicant can best scrutinize. One must be able to zero in and pinpoint the risks which can crop up in their future. It is often in individual interest that one opts for a health insurance. While the ailments to health might not be always reduced or even mitigated, health insurance does comply as a valid ally for minimizing the monetary burden. It is to be noted in this reference that health insurances are not really opted for from an annuity securing mindset. In other words it’s not the de-facto investment tool. What makes it an effective risk management tool is that it negates the monetary impact of the medical mishaps.
While general insurance deals with creating a corpus for the future, health insurance necessarily limits itself to negating the effect of unfavorable health. With impetuses from diverse corners, the insurance industry is blooming in recent years. Recently the Union Cabinet hiked the FDI on insurance from 26% to a much encompassing 49%. The need of security against unforeseen contingencies drives an individual to seek refuge under health insurance. What they necessarily seek in this regard is the safety net to guard against financial depreciation. The sense of security that comes from being insured, results in better productivity as well.
Health insurance’s role in wealth management
An insurance ceases to be effective if it fails negate the financial pitfall. In this context the best health insurance plan in India are attributed with financial impetus. While many might think that the investment in health insurance goes to waste if nothing serious occurs to the life insured, they are wrong. With the term plans coming into play, the returns are quite high when compared to other avenues. In other words it can be seen as a valid source of appropriating current income for future usage. The small amount paid as premium comes back as major monetary support during need. This often overshoots the initial investment in many scenarios. Health insurance as a wealth management tool is thus a quite valid concept.
Author Bio: The author is a seasoned web journalist with a penchant for the money market and equity instruments. His insights are well received by the industry experts. For more information, visit http://www.121policy.com/.
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About Alton Duke 
Health Insurance
56 connections, 1 recommendations, 200 honor points.Joined APSense since, November 26th, 2012, From Kolkata, India.
Created on Dec 31st 1969 18:00. Viewed 0 times.
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