In a world where even your neighborhood chaiwala accepts UPI, everything around us is evolving—including health insurance. With medical inflation in India skyrocketing at an annual rate of 10-15%, even a small fever today costs more than a weekend dinner date. But here’s the twist: while choosing health insurance, many of us are lured by the dazzle of flashy benefits—OPD cover, wellness perks, spa vouchers, and something called “global coverage” (as if we’re planning surgery in Switzerland).
But is this glamour sustainable when you have to keep paying premiums year after year… for decades?
Let’s strip it down and talk about why buying a solid, basic health insurance policy is not just wise—but essential—for long-term premium sustainability.
1.
The Flashy Policy Trap: Looks Good Now, Bites Later
Most jazzy policies are like Instagram filters—they make everything look perfect on the surface, but hide the truth. You’ll see:
- Free health checkups
- OPD coverage
- Diet consultations
- Wellness points for buying organic kale (which you never will)
- International emergency cover for that one time you might faint in Paris
The problem? All this glamour comes at a premium. Quite literally. The premium starts high, and guess what? It doesn’t stay there. It increases steeply every few years due to both age and inflation.
2.
Medical Inflation is No Joke—Even If Your Policy Is
Medical costs in India are going through the roof:
- A bypass surgery that cost ₹2.5 lakhs in 2015, now costs ₹5-6 lakhs
- ICU charges in Tier-1 cities can hit ₹50,000 per day
- An appendix surgery today can set you back ₹1.5 lakhs, plus GST, plus room upgrade, plus that lovely “surgical kit fee” no one understands
Now imagine you have a ₹10 lakh flashy policy that costs you ₹35,000 premium today. In 20 years, when you’re 55+, and premiums have increased due to both your age bracket and inflation, you could be staring at a premium of ₹1.5–2 lakhs annually—and you can’t afford to stop then.
3.
The Basic Policy: The Old Maruti 800 of Insurance—Reliable, Affordable, Evergreen
A well-structured basic policy, without the bling, gives you:
- Strong hospitalization coverage
- Daycare procedures
- Pre- and post-hospitalization expenses
- Lifetime renewability
- Decent claim settlement ratios from good insurers
And the best part? Premiums remain more manageable over the long term. You can upgrade coverage gradually as income increases, but the core policy remains solid. Think of it as buying a house before the interiors—you can always add the chandelier later.
4.
Flashy Plans Often Come with Complex Terms & Caps
Don’t fall for words like “Cashless Anywhere in the World” or “OPD Worth ₹25,000 FREE.”
The fine print usually includes:
- Co-pay clauses
- Disease-wise limits
- Hidden room rent capping
- OPD reimbursement requiring a PhD in paperwork
- And “International coverage” valid only for emergencies, only once, and maybe only in Sri Lanka
A basic plan, on the other hand, is straightforward, no drama. You get hospitalized, they pay (up to sum insured), and you move on with your life.
5.
Long-Term Sustainability: The Name of the Game
Let’s be real: Health insurance is not a 2-year relationship; it’s a 40-year marriage. The biggest risk isn’t “not having enough coverage today”—it’s not being able to afford premiums later, when your health is no longer perfect and switching policies becomes difficult or impossible.
If you go all-in on an expensive flashy plan now, and 10 years later you can’t sustain it:
- You’ll either have to reduce cover
- Or buy a new plan at age 50+ (when insurers aren’t too kind)
- Or—worst case—go uninsured when you need it the most
A basic policy keeps you in the game, ensures you have a safety net at all times, and lets you plan for add-ons later via super top-ups or riders.
Final Word: The Glamour Will Fade, but Your Bills Won’t
Buying a health insurance policy is like choosing a life partner: do you want someone who’s only attractive on the outside, or someone who will actually stand by you when things go south?
So yes, get insured. But do it wisely.
👉 Choose a basic, clean, no-nonsense policy that will still be affordable when you’re 70 plus.
👉 Avoid the marketing fluff—because when you’re lying in a hospital bed, you don’t need yoga discounts or smoothie coupons. You need a claim that actually pays.
Still confused?
Let a real advisor (not a call center script reader) help you out. Because smart insurance choices today mean peaceful hospital stays tomorrow.
Author:
Sumit Bhandari
Independent Fee-Based Health Insurance Consultant | Helping Indians Get Real Protection Without the Sales Gimmick
