Life and Health Insurance
Life insurance has been there for quite some time. People know about it very well. It is health insurance that has become a hot topic of discussion these days because of the rising prices of healthcare in the country. In fact they have risen so much in the recent years that many who do not have a health cover choose to ignore if they suffer from any disease or illness if they do not have a health insurance policy. This is rather unfortunate and the government is trying hard to provide health cover to all the families of the country.
Coming back to the topic of difference between the two, the names of the two types of insurance say it all. Whereas both are concerned with the safety of a person, life insurance is not concerned when a person falls ill, and it is applicable in case of death of an individual only. When a person takes a life insurance policy, he is entitled to the cover provided by the policy only after his death. This means that life insurance in effect is to safeguard the interests of your family and the money received by them in the eventuality of your death is to help them recover from the shock and loss of income. Life insurance can be of a specified term or it can be for whole life. If you have taken a term policy and you die in between, the cover goes to the family, but if you are alive after the term, no benefits accrue to you or the family.
Health insurance on the other hand insures your health, and if you fall ill, the policy takes care of all your medical expenses thus ensuring that you do not have to suffer from the double blow that is suffering physically as well as financially. Health insurance has almost become a necessity in the country with exponential rise of the price of the health care facilities.
Thus it is clear that while both life insurance and health insurance are concerned with the safety of a person, health insurance pays when you are in medical trouble, while life insurance in effect is for your family should you die.
Today there are some companies that offer a policy that cover life as well as health, and you have to carefully inspect the policy to see what the illnesses that are covered by the policy are.
