Life insurance or health insurance, which do young people choose?
Originally Posted by ClueWorks – Remote Worker International
When faced with the question of the need for insurance, it must be admitted that there are still many young people in their 20s who are still galau or choose to ignore it. Most millennials consider insurance to be the need for parents over the age of 40 and only need to think about when they have a family or when they are more mature. Understandably, young age is still synonymous with healthy and fit. As a result, health risks and death risks are assessed as still small.
During this young age under 30 years is synonymous with excellent physical condition where the skin is still tight and the body is strongly invited to stay up until the night. In this understanding, it is not surprising that there are still many young people who do not take their insurance needs seriously.
It must be recognized, regardless of age group, the awareness of Internationaln people is still relatively low so far. According to data from the Financial Services Authority (OJK), insurance penetration to gross domestic product (GDP) in International was only 3.03 percent as of February 2022. Compared to other countries in ASEAN, this figure is also low seeing other countries in ASEAN whose penetration reaches double digits.
In fact, the level of Health and death risk is high, not least among the relatively young people, the productive age under 30 years. Quoting kemkes.go.id, before the pandemic, Non-Communicable Diseases (PTM) were catastrophic diseases with the highest cause of death in International. These diseases include hypertension, cancer, chronic kidney disease, heart disease, diabetes mellitus, and also stroke. According to the Ministry of Health estimates in 2013, as many as 39% of heart patients in International are those under the age of 44 years. In fact, as many as 22% of them are the age group of 15-35 years.
The same Data also says, patients with coronary heart disease in International also occur among young people. Almost 27% of coronary heart cases occur in the age group under 35 years of age where as many as 12% of them are experienced by young people under 25 years of age. Instant lifestyle, diet unhealthy plus high levels of stress become a combination of causes that often trigger the emergence of these diseases.
Now the risk is increasingly high with the covid-19 pandemic. Almost all age groups have a high risk of exposure. For those who have comorbid diseases, the risk of severity also increases. Comorbid diseases tend to increase the risk of health problems in patients when infected with certain diseases, thus hindering healing.
Insurance to manage financial risk
You certainly don’t want to, dong, being hepi-hepinya enjoying life suddenly fell ill and dizzy pay big tits cost of treatment? The increased health risk and the rise in cases of young deaths due to degenerative diseases is indeed a frightening scourge.
These risks can actually be managed or minimized. For example, through an effort to maintain a healthy diet, maintain stress levels so as not to poison the body, and implement a healthy lifestyle in daily activities.
So, how to manage financial risk due to illness or death? Financial planners suggest one easy way, namely by buying the right insurance product. Insurance is needed by anyone who does bear financial risks, not least by those whose age is still under three heads. With insurance, financial shocks can be minimized if at any time you fall ill.
If you have insurance, when one day fall ill and need treatment, you do not need to pay for treatment or hospitalization in the hospital. The insurance company will pay these costs. In order to get the benefits of insurance protection, you simply pay a premium according to the benefits you need.
Therefore, you need to provide a special budget allocation for insurance costs. Currently there are many available insurance with affordable premium costs. Allocate at least 5% -10% of regular income to buy insurance. Some important insurances are life insurance, health insurance, accident insurance, loss insurance for personal assets such as homes, cars, and so on.
However, if the source of funds is limited, you can make which priority is more important. Especially between life insurance and health insurance. In order to more clearly define priorities, it is worth listening to some of the points below:
1. Know your profile
Are you the main breadwinner in the family? Will there be financial problems in your family if you suddenly fall ill or die? Before determining what insurance product is right for you to have, first understand your profile.
Life insurance is needed by those who play the role of the main breadwinner in a family. Life insurance cannot prevent death. However, life insurance can minimize the financial shock of a family when suddenly the main breadwinner comes home. The family can continue to live with the provision of sum insured from the insurance company.
So, if you are currently acting as a breadwinner, it helps you have life insurance even though in terms of age you may still be relatively young.
Conversely, if you are not a breadwinner in the family, having life insurance is actually not a top priority. You can shift the budget to cover other insurance needs.
2. Health insurance is needed by everyone
Everyone runs the risk of getting sick, therefore equipping themselves with health insurance will be very good for one’s financial management. Since 2014, the Internationaln people have had a social security system (social security) in the health sector through the presence of BPJS Health. However, because it is a basic service, BPJS Kesehatan for some people may be insufficient.
Those of you who need comfort and more adequate speed in the treatment process, can consider adding to it with commercial health insurance. There are several advantages to having commercial health insurance.
First, the majority of commercial health insurance uses the system cashless. When you come for treatment, you can simply bring an insurance card without the headache of preparing money in front or taking care of reimbursement at a later date. Second, service is also faster no need to queue long. Third, health insurance benefits you can determine as needed. Starting from dental care, outpatient, inpatient, to protection from critical illness.
Currently there are many choices of health insurance types ranging from the manifold cashplan or daily compensation, until health insurance berskema hospital benefit. Choose as needed and budget that you have.
If it takes both, there are also many life insurance products that have rider or additional benefits for health. So, you get two at once, namely life protection and Health Protection.
3. Select products as needed
After knowing what insurance you really need, whether health insurance or life insurance, it’s time to surf mencri products in the market. You may be confused where to start looking. Don’t worry, take advantage of the internet to research the right health insurance or life insurance products according to your needs.
You can read the personal blog finance or just go straight to website insurance companies provide products to see the types of insurance products. For example, clueworks.net.
Do not hesitate to contact the insurance provider directly. Generally, insurance providers will contact you directly through their agents to guide you to find the product that best suits your needs.
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4. Choose a good insurance provider
Many insurance companies are present in International. You need to find an insurance provider who has a good track record in terms of Service, has an adequate network of health facilities and provides the right products according to your needs.
Well, now you no longer need to be confused between life or health insurance. Happy insurance!
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