Analysing the growing demand of the medical industry, well-equipped medical units and specialised doctors are the need of the hour. That is why most young practitioners may want to pursue specialised courses that consume time and are expensive. Proper financial planning is the first prerequisite to fulfil these goals.
The easy availability of doctor finance options in India can allow medical professionals to formulate a proper financial plan to meet their requirements, both personal and professional. Listed below are some of the essential tips that can allow doctors to ensure that they can fulfil any short- or long-term goals without posing a risk to their finances.
Top financial tips for medical practitioners
Doctors looking to improve their pecuniary health in 2021 can look into the following pieces of financial and investing advice –
Tip 1: Avail an indemnity cover
Along with availing the option of doctor finance to meet several professional and personal requirements, borrowers must opt for a professional indemnity cover or medical indemnity insurance policy. Such policies protect them against any legal liabilities that may arise in relation to their medical practice. This cover protects doctors against any legal cost and compensation filed by patients, which often amount to several lakhs and crores.
The new-age indemnity plan covers the cost of appointing a lawyer and ensures that medical professionals can focus on their practice without worrying about financial losses. There are several financial risk doctors have if they do not have professional indemnity insurance that should be mitigated at the very onset.
Tip 2: Opt for a loan for doctors to finance education
Medical professionals often seek education loans to pursue their further specialisations abroad. However, an education loan only covers the applicable tuition fees.
In contrast, a personal loan or loan against property under the suite of loan for doctors not only helps bears the expense of tuition fees but also takes care of other aspects like travel, food, lodging, etc. Thus, depending on your financial requirements, borrowers can opt for doctor finance that will allow them to cover every type of expense incurred while pursuing a specialisation.
Tip 3: Helping diversify your investments
By availing of finance for medical practitioners, one can meet several professional requirements and facilitate generating additional income. He/she can then invest the surplus earnings into different assets to make way for handsome returns.
Nonetheless, it is to be noted that borrowers must be aware of the risk and returns associated with investment options like equities, debt, fixed deposit, real estate etc., before pursuing any of them.
Tip 4: Upgrade professionally
Since being a doctor will always be a demanding profession, you need to constantly upgrade your skills, learn about the latest technologies in health care and use them for patient recovery, networking with other doctors etc. Upgrading your skillset and clinic will certainly help generate a higher income.
To meet these requirements pertaining to upgrading your skills, avail of doctor finance to fund the necessary areas.
Tip 5: Plan properly to achieve major milestones
Proper financial planning is all about creating wealth to address major milestones in life such as purchasing a home or car, funding higher studies and marriage etc. Borrowers can easily avail of a personal loan for doctors, or a loan against property, to fulfil their necessary requirements and achieve financial growth.
However, it is crucial to look through various factors like interest rates, eligibility, and documentation needs to ensure that the loan application and repayment can be facilitated without hassle.
Individuals should also take note of pre-approved offers extended by financial institutions like Bajaj Finserv to streamline their loan application. These offers are available on various financial products, including personal loans, business loans, etc. Check your pre-approved offer by entering your essential details.
India’s healthcare sector is anticipated to grow at a CAGR of 16-17%, reaching Rs.8.6 trillion by the end of 2022 from Rs.4 trillion in FY17. With the rapid development of medical technology, elevated quality conformity and laws, the medical industry is growing rapidly.
As such, comprehensive financial planning is a must for every medical professional. Following the above tips can effectively ensure monetary prosperity.