The retirement age set by most public and private organizations might still be 60, but a lot of people don’t want to wait that long to start enjoying the money they make in a lifetime. Early retirement is a rising trend among people and retirement age is steadily making its way down the ladder by almost a decade. Unfortunately, our life expectancy isn’t taking the same route as our retirement age. If anything, it’s increasing. This means we stop making a living, long before we stop living. Now that is a problem that needs fixing and it needs a fix that will stay with us throughout our retirement years.
While it’s great to be retiring early and having time to focus on your personal growth, it is also important to keep in mind the cost of certain financial goals that might be affected due to the loss of a regular income. One of the first financial goals to take a hit will be health insurance. For starters, when you are no longer working with an organisation, the latter is no longer liable to provide you with a health cover. As such, a person will be able to keep their health cover only till the time of renewal. Additionally, you will also need a good plan to cover the health of your loved ones. At the time of renewal, the organisation will no longer be required to protect a former employee or it’s family members. This means you only have a personally funded health cover to fall back on; which makes it crucial to for you to have a strong and comprehensive health plan.
As you get older, you are susceptible to illness that comes with age or from the long-term effects of a degenerative lifestyle. Either way, the stress of a good health cover should be the last thing stopping you from enjoying a life after retirement. How can you make this a lot more than just wishful thinking? With a comprehensive health insurance plan. What are the factors that generally affect buying health insurance?
When your health is concerned, simply comparing health insurance premiums is not enough. You want to find a definitive balance between out of pocket expenses and your health insurance plan premium. A holistic health insurance plan should be carefully chosen after thinking over all aspects of the plan in question. Which brings us to the next factor – coverage.
If you are planning to retire early, you may need to understand what kind of payment plan works best for you but you also need to understand the limitations of coverage under an inexpensive plan. A comprehensive policy should be able to provide pre and post hospitalisation coverage, doctor and medical practitioner fees. Many health insurance providers offer health cover against long term and critical illnesses like heart disease, kidney or liver disease, cancer etc. The network of affiliated hospitals, cashless hospitalisation, expense of regular health checks also factor into your decision of choosing a health insurance plan.
While it is important to be financially stable and an expensive health plan could feel like a bit of a liability, you must also remember that healthcare is becoming increasingly expensive. Ergo, try not to hold back on a holistic health plan to save some money. A health cover has proven to be very beneficial when you don’t have income. In a nutshell, retirement allows you to retire from responsibilities at work, not responsibilities toward the health of your loved ones or yourself.