A Guide To Health & Life Insurance for Gen Z

24^th Jun 2025...

With so many choices at our fingertips, Gen Z has a unique way of doing things. From managing money to staying healthy, the generation looks for options that match their lifestyle. When it comes to protecting their health and future, having the right solutions matters.

Health and life insurance might sound complicated, but they come with plenty of benefits for both today and tomorrow. Let’s explore how these plans can fit perfectly into Gen Z’s way of life.

Health insurance for Gen Z

Health insurance is like a safety net that helps cover medical expenses when you need it. It protects you from unexpected healthcare costs, like hospital bills, doctor visits and treatments, by sharing the financial burden with your insurer. You don’t have to stress about big bills for emergencies or regular checkups. You just pay a premium to the insurance company, and they handle the expenses covered by the policy.

Benefits

Health insurance ensures you get the care you need without worrying about the cost. It helps pay for things like hospital stays and doctor visits, so you don’t have to spend too much.
Accidents or sudden illnesses can happen to anyone. A health insurance plan helps you stay prepared by covering emergency treatments, reducing financial stress during tough times.
Many insurance plans offer cashless treatment at network hospitals. This means you don’t have to pay upfront; your insurer settles the bills directly with the hospital.
Regular check-ups are often included in health insurance plans, helping you stay on top of your health and detect any issues early.
Under Section 80D of the Income Tax Act, premiums paid for health insurance qualify for tax deductions, making it a financially wise choice.
Health insurance plans today come with flexible options, like coverage for mental health, wellness programs or fitness rewards, catering to the needs of Gen Z.

Life insurance for Gen Z

Life insurance is a contract between you and an insurance company that ensures financial security for your loved ones in case of your untimely demise. In exchange for regular premium payments, the insurer provides a lump sum amount, called the sum assured, to your family or nominee. It’s a way to safeguard their future and cover expenses like loans, education or daily needs.

Benefits

Life insurance ensures that your family is financially supported if something happens to you. This can cover living expenses, debts or even help fund future goals like education.

Investing in a life insurance plan early comes with lower premiums, making it perfect for Gen Z. The younger and healthier you are, the less you pay.
If you have loans like student loans or a personal loan, life insurance ensures these don’t become a burden on your family.
Some life insurance plans, like endowment or money-back policies, combine insurance with savings. These plans help you create a financial corpus while providing life cover.
Knowing that your family is financially secure gives you peace of mind to focus on your personal and professional growth.
Premiums paid for life insurance are eligible for tax deductions under Section 80C of the Income Tax Act. The payout received by the nominee is further tax-exempt under Section 10(10D).
With term plans, savings-linked plans and ULIPs (Unit-Linked Insurance Plans), there are plenty of options for Gen Z to choose from, depending on their needs and goals.

Things to consider when looking for health and life insurance

When choosing health and life insurance, focus on your priorities like adequate coverage, flexibility to upgrade and ease of claims. Choose plans that give extra benefits like wellness programs or investment options. Compare policies from different insurers to find one that fits your budget and needs. Also, make sure you understand all the terms, like waiting periods and what’s not covered, so there are no surprises later.

Make timely payments to continue your insurance benefits

Picking the right health and life insurance is a simple way to secure your future. These plans help you handle unexpected expenses and plan ahead with confidence. Choose one that works best for your needs.

After getting an insurance policy, make sure to pay your premiums on time to keep your coverage active. You can use your Kotak811 Savings Account for easy payments. This way, your insurance will be there when you need it. Make swift payments via the Kotak811 App and secure your financial future today.

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This Article is for information purposes only. The views expressed in this Article do not necessarily constitute the views of Kotak Mahindra Bank Ltd. (“Bank”) or its employees. Bank makes no warranty of any kind with respect to the completeness or accuracy of the material and articles contained in this Newsletter. The information contained in this Article is sourced from empanelled external experts for the benefit of the customers and it does not constitute legal advice from Kotak. Kotak, its directors, employees, and contributors shall not be responsible or liable for any damage or loss resulting from or arising due to reliance on or use of any information contained herein.