We people have got a tendancy to go behind any products which are offering maximum utility with less cost. That is why many of the sectors are concentrating in this concept to make perk out of it. Insurance is a sector which can be quoted as a paradigm for the same. Most of have came across the term Insurance in our day to day life. Insurance is a sector which is been diversified into smaller subset. Life Insurance and Health Insurance are the prominent and typical words in this subset.
But most interesting fact is that most of them don’t know the difference between both.Infact some of them have got a paradox that both of them are identical even though the reality differs. He or she should be aware about the differences between them since the buyer should be aware about the product he/she receives for the payment he/she did. Life Insurance covers all the aspect about life which is less expensive which also involves tax benefits. This is the main reason why most of the people are being attracted towards to it. It has got an effect on those who have a mortgage or other debts, dependents including spouse, child etc.
Term insurance, Endowment Plans, Unit linked Insurance Plans, Pension plans, Money-back plans are the are the different categories associated with Life insurance. On the other hand, Health Insurance it is been more specific and it is more individualistic. It is more expensive compared to Life Insurance and it is also having tax exemption.
Individual health plans, Family floater policy, Surgery and critical illness policy, Pre-existing disease cover, Preventive healthcare, Senior citizen health insurance are the types associated with health insurance. A prominent difference between these two is application of Life Insurance is been restricted to certain limits where it has got broader sense in case of Health Insurance.
Death benefit is been assured in case of life Insurance where the privilege can be enjoyed by the policyholders or family by getting the insured amount. But on the other hand, healthcare plans do not have any sort of death benefit and in order to enjoy the privilege out of Health Insurance, it should be taken in advance.