A health insurance policy has become the need of the hour. In today’s world, where people are constantly subjected to stress, rising health conditions have become a serious concern. Moreover, unhealthy food habits, sedentary lifestyle and lack of physical activity have made chronic conditions like obesity, diabetes, and hypertension more prevalent. Apart from being physically and mentally exhausting, health issues can also be financially distressing owing to the high medical expenses associated with them. This is where having a health insurance cover can prove to be extremely helpful.

However, a lot of people believe that health insurance and life insurance serve the same purpose and thus they tend to ignore health insurance when they already have life insurance. Although both of them cover individuals against unforeseen events in the future, they are quite different and have different benefits. To have a better understanding, let us have a quick look at both of them.

Life insurance policy

A life insurance policy is an agreement with an insurance company, wherein the insurance company pays a sum of money at the demise of the insured person. Or, they may pay a sum to the policyholder after a specified period. Life insurance is essential as it provides financial security to the insured person or their family. Due to a life insurance policy, the family can afford to maintain its lifestyle even in the absence of the breadwinner. However, very few life insurance policies cover any medical conditions or treatments.

Health insurance policy

On the other hand, health insurance plans offered by insurance companies cover the medical expenses that might arise due to an illness or disease. It can include regular health check-ups, treatment costs, hospital stays, prescription drugs, and important preventive care. It is advisable to always settle for a comprehensive health care insurance plan as it offers wider coverage. Additionally, it also provides outpatient coverage when a hospital stay isn’t required.

Most people consider opting for medical insurance with a low premium cost. However, this isn’t recommended as health insurance with cheaper premium often provides less coverage and also have limited network hospitals. To avail the best deal, you should consider comparing various policies and insurance providers before making a choice for yourself. Lastly, do not forget to read the terms and conditions of the policy before purchasing it.

With the help of leading financial institutions, you can get access to the best medical insurance coverage for yourself and your family against medical emergencies. This will allow you to deal with sudden illnesses without adversely affecting your finances.


Since health insurance and life insurance serve different purposes, they can’t act as a substitute for each other. Health insurance protects your finances during medical emergencies, whereas life insurance provides security to your family in case of any unfortunate event. Therefore, having both life and health insurance policies are equally important.

By Admin