New buddy in town- Health Insurance

Childhood is all about fantasies and thinking about being an adult. But the reality strikes in when you become an adult and enter the real world. Most people don’t take up side jobs in India when they are in college; the real hard work begins usually post they turn 22. In Western countries, students take up odd jobs, complete their education, and even pay college tuition fees. At an early, they become financially independent and responsible.

22 is the age when you taste freedom but also the responsibilities of being a grown-up. Gradually, you aim of buying a car, home and secure yourself and your family against the odds of life. But this might seem like a colossal mountain to climb, but if planned well, you can achieve it quickly. If it is started at an early age, various schemes can provide remarkable results in the future. With financial freedom on your side, you can live your life to the fullest, afford anything and everything you desire, and travel the world.

Expenses are increasing at an alarming rate coupled with inflation. Due to our stressful lifestyle, there are higher chances of people having medical emergencies at an early age. Medical expenses are growing at 15% annually, and many young individuals overlook the importance of it. This is just one component in becoming financially independent.

• Prioritise savings and investments

Watch out for unnecessary expenses, make sure you save from your salary and invest in high return schemes. Based on the average expenses, determine a fixed amount you would want to save and invest every month. Invest first and spend whatever is left. Start small but start early and invest in investment options that can offer your inflation-beating returns.

• Get rid of loans and debts

Adopt a modest lifestyle and maintain a debt-free lifestyle. In case you have taken any loans in the past, make sure you start repaying them once you start earning. Make this a habit and clear the debt as soon as possible.

• Buy health insurance

Buying comprehensive health insurance, along with a sufficient sum insured, is ideal in today’s time. Health insurance takes care of hospitalisation expenses. Make sure you buy health insurance that covers all your requirements and has an easy claim process. Go through the customer reviews, brochures and inclusions before making a decision.

• Invest in mutual funds

Plan your monthly income and make a considerable amount of investment in SIPs or Mutual Funds. Though market risks govern these, they are convenient options for savings. No investment means no savings in today’s time. Hence, you need to be wise about making investments and multiplying your money.

• Plan your savings and sufficient insurance cover

Plan your taxes and make sure your tax planning is aligned with your long-term financial goals. Look for avenues that serve the dual purpose of wealth creation and tax saving. Also, make sure that you buy insurance with sufficient cover if you haven’t already, as premiums may get more expensive with age.

• Protect your parents

Your ageing parents are your responsibility, and you must take care of their needs. Ageing and lifestyle may lead to heart ailments or other similar kinds of diseases. Such an illness would need treatment with hospitalisation. It is better to save money and buy health insurance for unexpected events like these. 
Early financial planning can lead to financial independence and will make you an adult. By following these steps, you can get a head start from your peers and have early wealth accumulation. Think smart when the world is becoming smarter; grab opportunities that come your way.

Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.

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