*All savings are provided by the insurer as per the IRDAI approved insurance plan. Standard T&C Apply
*Tax benefit is subject to changes in tax laws. Standard T&C Apply
Are you covered under health insurance plan? Great! But when was the last time you got hospitalized and used the benefits of the plan. It is a good thing if you didn’t have to use your health insurance. But, does the insurance company call you up at the end of the policy term and say, “Hey, as you didn’t use your insurance, so we are going to return some of your money back.”
“Of course they don’t.”
That’s where health savings plans differ from traditional health insurance products.
Health savings plan (HSA) offers you health insurance cover as well as premium savings to pay for your future medical expenses. This savings plan acts as an alternative to a traditional Insurance health plan. HSA helps you pay for covered expenses now and save for medical expenses you may have in the future, especially in your retirement years.
The table below points a few differences between a health insurance plan and health saving plan:
|
Health Insurance Plan |
Health Savings Plan |
Benefits |
The whole sum goes for the insurance cover. |
30-40% of the sum goes in a savings account and the rest for the insurance cover. |
Coverage |
Full coverage |
Partial coverage |
Insurance Premiums |
Comparatively high |
Comparatively low |
If you are looking for a safety net in health insurance plan and don’t want to end up losing all your money, health saving plan is best suited to your profile. There is no "use it or lose it" condition, so you can build up the savings for future health events.
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