COVID-19 has left a deep scar on people's lives, be it the salaried class or the business community. The salaried class is going through nightmares like pay cuts, delayed salaries, and, worst of all, job loss. The business community is allowed to operate just for a limited number of hours during the day and just for a few days during the week. Everyone is impacted by it, wealth-wise, health-wise, and emotion-wise.
An important point we are about to highlight today is the state of people's bank account due to COVID-19. Especially for those people who do not have an insurance plan. Bank accounts are nearly empty after a year of fighting COVID-19 and curbs imposed by the government to contain this pandemic. People are begging and borrowing money from relatives and friends to survive through these difficult times. The best way to know more about this is by looking at people who have been impacted by it. Let’s explain with an example. Mangesh Joshi and Dheeraj Sharma lived in the same building. Sadly, one day they were both diagnosed with COVID-19 and had to be immediately hospitalized.
Mahesh and Dheeraj fought against all odds and returned to their families after spending 15 days in the hospital. But, Dheeraj was more saddened and worried. They both had to pay a hospital bill of around Rs. 5 lakhs; Mahesh paid just Rs. 10,000 while his Health Insurance paid the rest. On the other hand, Dheeraj had to take a personal loan of Rs. 5 lakh to pay his hospital bill. Now, for the next four years, he will have to pay a monthly EMI of Rs. 12,800/-.
Devastating Effect
| Mahesh Joshi | Dheeraj Sharma | |
|---|---|---|
| Age | ||
| Hospital Bill | ||
| Insurance Cover | ||
| Insurer Payout | ||
| Paid from Bank A/c |
Dheeraj could have saved Rs. 6 lakhs if he had bought a health insurance plan for himself. A Rs. 5 lakh health insurance plan costs just Rs. 6650/- for a 35-year-old male. Along with this, Dheeraj could have saved himself from the mental trauma of arranging Rs. 12,800/- every month for the next 48 months without fail.
Now, try to imagine if Dheeraj had lost his job or had a reduced salary, how difficult it would have been to pay the bills and manage the day-to-day expenses of the entire family? What will be his condition if the COVID-19 disease would have struck him and his wife at the same time or his whole family.
As government health care services are stretched to their limits, it has forced people to undertake health services from the private sector. A 15-day stay at a private hospital comes with a bill of Rs. 5 lakh for a person. Now, even if four family members have to undergo COVID-19 treatment, you might end up with a hospital bill of Rs. 20 lakh.
The government has come to the aid of the people by providing free treatment, free quarantine centers for people upto a certain income bracket, and concessional rates for others. Apart from this, on government orders, health and general insurers have also launched a low-cost corona cover plan named " Corona Kavach Policy ". This plan was supposed to expire in March 2021 but seeing the current circumstances; the government has increased this plan's validity till September 2021.
People are still under the illusion that they are invincible. They do not need insurance in any form, neither health nor life. They have bank accounts that will never go below the minimum balance levels. While the harsh reality is people only awaken from their delusional world when COVID-19 comes knocking at their doorstep.
Those who were affected by COVID-19 have woken up to the impact of this disease on their bank accounts. So the best advice right now for everyone out there is to protect themselves and their loved ones with a health insurance plan. If you are the only source of income for your family, it is advisable to buy a term insurance plan with your health insurance plan. This way, you can easily protect your bank account from health expenses and your family's future when you are now with them.
Now the final decision lies with you; what would you prefer, paying Rs. 6,650/- per annum like Mahesh did or Rs. 12,800/- per month for the next four years, like Dheeraj to pay off your medical bills. The choice is all yours. Make the right one!
