Insurance
Should you buy term insurance or health insurance first? What each one does, why it matters, and how to think about the order.
Piyush Shangari
5 July 2024 · 1 min read
When it comes to financial planning, insurance acts as your first line of defence. It safeguards your health, income and family’s future.
But one common question arises: should you buy term insurance or health insurance first? Let’s understand both.
Term Insurance
A term plan is a pure protection policy that provides financial support to your family in case of the policyholder’s unfortunate demise. It offers high coverage at an affordable premium, which makes it important for anyone with dependents or liabilities.
Why it matters:
- Affordable premiums with significant coverage
- Protects your family’s financial future
- Ideal if you have dependents, loans or long-term responsibilities
Health Insurance
A health insurance policy helps cover hospitalisation and medical expenses, reducing the financial stress caused by illness or emergencies.
Why it matters:
- Protects against rising medical costs
- Offers cashless hospitalisation at network hospitals
- Provides financial security for you and your family
What Should You Buy First?
If you’re beginning your financial journey, health insurance often comes first. It protects you from immediate medical expenses and emergencies. Once that is secured, term insurance helps safeguard your family’s long-term financial well-being. If others already depend on your income, term insurance moves up the list.
Worth knowing: Premiums are generally lower when you’re young and healthy, so starting early usually means a lower premium for the same cover. Don’t wait for the “right time.”
At Wethonic, we act as insurance distributors, helping you compare and choose policies suited to your life stage and financial goals, under IRDAI guidelines.
Insurance is the subject matter of solicitation. For more details on risk factors, terms, conditions and exclusions, please read the sales brochure carefully before concluding a sale.
Call: +91 7737 96 0291
Visit: www.wethonic.com
Secure today. Safeguard tomorrow.
Investments in mutual funds and equity markets are subject to market risks. Please read all scheme-related and investment documents carefully before investing. This article is for general information and education only.
