In New Zealand we have a pretty decent public healthcare system. Yet, one third of kiwis still choose to take on private health insurance.

There are three main reasons for doing so:

1/. Being covered for ridiculously expensive operations. A hip replacement alone can cost close to $30,000.

2/. Ensuring coverage for non pharmaceutical drugs.

3/. Not having to wait as long to be seen. This can sometimes be the difference between life and death.

But one reason I frequently see from many people as to why they don’t need health insurance is that they are fit and healthy.

It’s all well and good to not have health insurance. Personally, I don’t. I like to think that a combination of our healthy lifestyles, emergency funds, available family support, and multiple sources of income are a good hedge against health insurance.

But to think just because you are fit you are not likely to get sick or serious injured is false thinking in my opinion. Fit people can and do have bad things happen to them. A lot. It’s very common in fact. Being fit is not a hedge against health insurance. Yes, it may help with some ailments, but far from all.

Being fit is just one piece of the puzzle not to have health insurance.

“Only unfit people get sick” is the type of thinking that is luring yourself into a false sense of comfort. And I see this all the time.

As much as we like to think so, life is not always in our control.

The point I’m trying to make here is self insurance is fine. But you need to make sure you actually do that. Self insure. Have enough emergency savings and back up plans to cover any big payments.

By thinking you are invincible just because you are healthy, could cost you a lot of pain and money if not properly prepared.

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