Top 5 Reasons Young Indians Delay Health Insurance

Overconfidence in Personal Health

Young Indians today suffer from the ‘Forever Young Fallacy’, they think the health and fitness they have today shall remain forever.

Youth today prefers to spend on new gadgets, travels and spend impulsively rather than plan for their future. Most seem to have the ‘won’t happen to me’ mindset which makes them feel invincible by diseases and illnesses.

Lack of awareness of the need and benefits of health insurance

Insurance is considered a tax savings tool and not as the beneficial financial tool it is. Most youngsters aren’t aware exactly what health insurance is, how it works, or the benefits of having healthcare. Due to this, they often wait until calamity strikes before thinking about taking health insurance.

Reliance on corporate insurance

Most companies provide health insurance to their employees, but these insurance benefits cease when employees leave the company. In this gap between career transitions, a person may face health issues for which he has no safety net.

Corporate health insurance is are group plan that is not tailored to an individual's needs. You need a health plan that is customised and protects you against your current health issues and potential diseases.

Perceived high cost of insurance

Young Indians think insurance is an expensive and tedious process. Due to this misconception, many lack awareness of the affordable options offered by insurers.

Young adults who prefer flexible payment options aren’t aware of the monthly or quarterly premium payment options that many insurers provide.

Lack of Financial Literacy

Gen Z and millennials don’t understand how insurance works. Terms like ‘premiums’, ‘waiting period’, and ‘exclusions’, etc, often overwhelm and discourage them from even thinking about taking health insurance.

People are often intimidated by the complex claim procedures and the rejection of claims during serious medical emergencies. Stories of rejected claims and hidden clauses in policies have made the youngsters skeptical towards insurers.