A guide to buy the best health insurance for your parents
Are you planning to buy a health insurance plan for your parents? At this moment, the insurance market is flooded with various options for senior citizen or older people. Many insurance companies offer family floater plans designed to include your parents. However, purchasing a family floater plan with an option to add senior citizens would entail you with a higher premium. It is mainly because of the health risks associated with age. Since the claims are more likely to be raised for senior citizens, the premium is usually high.
Health issues are inevitable as you age. As your parents are not going to get any younger, it is good to be prepared for medical ailments. Without an insurance policy in place to cover the medical expenses, the hospitalization expenses can wreck you financially. Hence, your parents must be covered with a health insurance policy so that you can forget about your financial worries. That said, there are a few checkpoints to be considered before buying an insurance policy for your parents.
- Features
You must understand the benefits and features of the policy you decide to buy. Look for details such as policy duration, hospitalization cover, critical illness cover, domiciliary treatment charges, daycare procedures etc. before proceeding to buy.
- Higher Sum Insured
First thing, the treatment costs for health ailments have risen sharply. It is nearly unmanageable without health insurance for most of us. As the elders are prone to various kinds of illness and critical conditions, it is recommended to go a higher sum assured. It will ensure they receive the best treatment at the best hospital.
- Pre-Existing disease
Most policies will cover the pre-existing medical conditions only after a waiting period. The waiting period for coverage differs from company to company and from plan to plan. There is also a list of pre-existing diseases which and won’t be covered. It is recommended to buy the family health insurance plan which has less waiting period for pre-existing diseases for your parents.
- Co-Pay
Co-Pay is an option where it is pre-decided that you will pay a certain percentage of hospital bill on your own. The insurance company settles the balance amount. For example, if the hospitalization expense for your parent is Rs. 1 Lakh, you will have to pay Rs. 20000 from your hand and the insurance company will settle the remaining Rs. 80000. Co=pay feature is optional; you can select no-copay if you don’t need it.
- Tax Benefits
The premium paid towards the health insurance premium for your parents is eligible for tax deductions under Section 80D of the Income Tax act. If your parents are below 60, you claim tax benefits up to Rs. 50000. If your parents are above 60 years of age, the limit extends up to Rs. 75000.
How to Choose the best plan?
As there are several health insurance plans available in the market, it may be a bit overwhelming for an unassuming individual to pick the best health insurance policy. Analyze your needs and requirements, the money you can afford to pay, and most importantly, the health of your parents. Remember, having medical insurance always safeguards you from financial constraints during emergency medical issues. In no way, spending money to buy health insurance for your parents can be deemed as an unnecessary expense.
Portals like FinCover, which is one of the fastest-growing insurance aggregator companies in India allow you to compare different insurance policies at one place. You can compare, analyze the features of other health insurance plans available in the market before choosing the best. Also, check if the policy you select has network hospitals that are near to your residence, so it is convenient to take them during any health emergency. Read the terms and conditions of the policy that you do not miss out on any caveats.