Insurance Blog – What is pure health insurance? Difference with Unit Link?
Based on the type of insurance policy, there are 2 types of health insurance, namely pure health insurance and related unit health insurance. Most people generally think that having insurance is an investment, even though this misconception often leads to disappointment with purchased insurance products.
The importance of health insurance
You must already know that health is an important thing that we really need to take care of. By having a healthy lifestyle, we protect the body against diseases. Some of the things you can do are: get enough and regular sleep, eat nutritious food, drink enough water, reduce sugar intake, quit smoking, manage stress and exercise regularly every week (150 minutes a week for moderate to In addition to strength training). at least twice a week).
Even though we take precautions with a healthy lifestyle, we cannot 100% prevent getting sick forever. You may have heard that people who look healthy are also at risk of heart attack or stroke.
Diseases such as cancer are often diagnosed late. About 70% of first diagnosed cancers are found in advanced stages. Some diseases are caused by genetic factors, widespread epidemics or unexpected events such as accidents. In addition, there are diseases that occur due to aging.
For those of you who live in big cities, the pollution and fast pace of life can really take a toll on your health. Even the layout of our urban facilities does not accommodate the habit of walking. Work often requires us to sit behind the computer all the time.
Even during rest, we are more used to sitting in front of the TV Mageran With Smart phones Enjoy endless social media content on hand. As a result, we are sedentary to collect risk factors for various diseases.
In DKI Jakarta alone, almost half of the population lives with insufficient physical activity. Not surprisingly, the prevalence of high blood pressure in the capital community is 25.8%, joint disease is 24.7%, stroke is 12.1% and heart disease is 7.2%.
Health insurance based on the type of insurance policy
When we talk about health and illness, we automatically mention the costs that you might incur if you get sick and get treated at a health facility (FOX). Therefore, these financial risks should be included in your financial planning.
You can choose ways like saving and preparing an emergency fund. However, don’t rely on savings and emergency funds to pay for hospital expenses. You should have health insurance as a more effective financial support, especially if illness can also reduce your income.
Health insurance is divided into two categories based on the type of insurance policy:
1. Pure health insurance
All insurance premiums that you pay for this health insurance are accepted by the insurance company as the cost of guaranteeing your health. This type of insurance is called “pure” because its function is nothing but health-related financial support.
2. Health insurance Unit link
In addition, health insurance Unit link Known for its dual function, that is, in addition to health protection, it is also for investment. This means that part of the premium you pay is taken as health insurance costs and part of it is put into investments such as the stock market, securities or the currency market. The profit from the investment will be divided between the insurer and the policy holder according to the agreement in the insurance policy.
However, you should understand that the profit from the investment in health insurance is used to pay for it Insurance cost (COI). The cost of COI increases with increasing health risks such as the age of the insured and the history of claims paid in the previous policy year.
Pure health insurance or Unit link?
The next question is which type of health insurance to choose? You really don’t need to be confused. Choose the one that suits your needs. Let’s see the difference. This time we start with health insurance Unit link.
Because it has an investment aspect, usually health insurance premiums Unit link Being more expensive also gives the customer hope that the policy can provide benefits from a return on investment. It’s not completely wrong, but you have to remember that insurance costs go up every year. Why is that? Because every increase in age means an increase in the risk of disease. While the premium price Unit link desire the bed Or the same year after year. Therefore, the payment of expenses that increase year by year is taken from the return on investment.
You should also remember that investing is not always profitable. Stocks can go up and down at any time, the political situation of a country can affect the value of money and the rate of economic and commercial growth, etc.
Then, what if the investment returns? Unit link are you not well Investing is not always profitable, but it can be profitable, right? The premium you pay regularly may not cover all the insurance costs. As the policyholder, you are required to increase the investment capital or pay the existing insurance costs directly.
health insurance Unit link It should not be considered as an investment tool alone. As the name suggests, what you need is financial support in the form of health insurance, meaning your finances are protected if you experience symptoms of illness, whether mild or severe. The insurance company guarantees that it will pay the operating costs, hospital rooms, drugs, etc. according to the agreement contained in the insurance policy.
Pure health insurance that suits you
Pure health insurance is perfect for those of you who want to focus on protecting your health-related financial resources. In that type of insurance policy, there is no investment aspect. You have paid all insurance costs through premiums.
Usually, the premium increases in the next policy year (No the bed) because of the age factor, also because of the history of claims you have made in the previous year. However, you don’t have to worry about underpayments as the total premium amount is known at the outset.
Sometimes people hesitate to choose pure health insurance. They see premium money as “weakness” or “lost money”. Unit link It promises a “return on investment” or at least a return on investment. With good education, you can understand that insurance is primarily for your financial protection, not for profit.
Is your premium money really gone and lost? By paying the insurance premium, you transfer the risk of financial loss to the insurance company. Through a legally valid insurance policy, the company as an insurer guarantees that the insured’s medical expenses will be paid according to the policy holder’s agreement.
Think of an insurance company as a security guard in an apartment complex. He works to protect people’s homes from the threat of theft or other criminal acts. When there are no adverse events, it means that the security is working properly. Are you going to ask for the rights you have paid? Of course not, right? Even in insurance, premiums are not wasted or money is lost, you pay for guaranteed protection like the security work we talked about earlier.
If you stay healthy and don’t need to be hospitalized, that’s a real plus. This means that you can take good care of your health. You are also financially literate by providing health insurance for you and the people you care about.
Therefore, insurance companies generally appreciate those of you who always take care of your health and don’t get sick.No claims). One example of appreciation is that there is no premium increase for the next policy year. Another example is an insurance company that gives a discount for the next year’s insurance premium or the customer can withdraw the insurance premium according to the percentage agreed in the insurance policy.
Roja Indonesia also has pure health insurance options, you know! Even if you already have BPJS or basic private insurance, you still need additional insurance to strengthen your financial support. Insurance Hospital cash plan From Roojai Indonesia with daily cash benefits that do not depend on hospital charges, but protect your health as per your policy. Even if the hospital expenses are already covered by your primary insurance, you can still make a claim. This insurance can also replace the lost income due to hospitalization.
Adjust the insurance package according to your budget. You can choose additional protection such as operational cost compensation, extreme care, and follow-up care. Do you need health insurance with lower premiums? You can decide for yourself how long you want to pay for hospitalization.deductible). In addition, for those of you who have not claimed during the active period, the dream has advantages No claim bonus You can get a discount by renewing the insurance policy.