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Health Insurance is Needed, but why Family Health Insurance?

You should be taking extra care of your loved ones’ health, especially with the pandemic still looming large. You may be caught unaware by medical emergencies leaving you bewildered and scrapping for funds. You may also worry about getting good treatment in a specialized hospital due to high medical expenses. But now you can relax and get quality medical treatment for your family with a floater health insurance policy. Not convinced? Here are some more reasons why you must get a floater policy:

  • Cover the entire family with a single policy

A single policy will cover all your family members for medical treatment instead of getting separate policies for individual members. It will cover your spouse, children, elderly parents, and yourself. Premium payment for different health plans is tiring and difficult to track. And filing claims with separate terms and conditions each time is also a hassle. Instead of paying individual premiums and associated charges for several policies, just make a single payment that would be more cost-saving. Also, it ensures that you do not compromise on the medical expenses of any of the members. 

  • Get quality medical care

Nowadays, hospital bills can reach exorbitant levels if you seek quality treatment at a super-speciality hospital. The consultation and diagnostic charges are usually very high in case of critical illnesses or surgical procedures. You get a single sum insured for the entire family irrespective of age, and you can claim the entire amount for any member if required. If any member passes away, the policy will not terminate. It will be valid for the surviving family members with the continuing insurance coverage.

  • Tax benefits

Health insurance plans for families provide tax benefits similar to policies in other categories. You can claim the premium for mediclaim policies for tax deduction under Section 80D of the Income Tax Act, 1961. You may get a maximum tax deduction of up to Rs 25,000 on the family floater. For a senior citizen or an individual above 60 years, the maximum deduction would be up to Rs 50,000. This is an added advantage as the clause is applicable if you pay insurance premiums for your senior citizen parents.

  • Add new members if required

For an individual policy, you must buy a different health cover each time you want to insure a new member. If you get a family floater for all the members, you can add new members, such as a new-born in the future, under the existing policy. Usually, a family floater covers you, your spouse, and the children. But some insurers may allow extension of the coverage to include your parents, in-laws, or members of your extended family. This is advantageous if you have plans to add new members under the same floater. 

  • Discounts

Insurers provide higher discounts if you add more members under the family floater plan.  The rate of discount may vary among different insurers and based on the number of members added. Also, you may get additional discounts if you buy an online floater policy. Since there are no brokers or intermediaries involved or any paperwork, the insurers can save on the commission amount. They try to provide a part of these savings to the policyholders. You may also get discounts during the online renewal of policies. 

  • Added coverage 

You may have a health cover from your current employer that includes your family members, but it can be inadequate. Also, it would cover you as long as you are an employee, and if you change the job, you will lose the cover for everybody. If you buy an additional family floater from a reliable insurer, it ensures no shortfall of financial cover during treatments. This can reduce money-related stress, and you can concentrate on the treatment process instead. Some plans include treatment costs for Covid-19 in the form of short-term policies, which is essential due to the ongoing pandemic. 

  • Option of cashless or reimbursement expenses

Cashless treatment facilities are available for floater policies, and you do not have to pay anything from your end if you opt for sufficient cover. Get the patient to any of the network hospitals with which your insurer has a tie-up, and inform the Third-Party Administration (TPA) and the insurer at the earliest. The insurer will settle the bill with the hospital directly.

Alternately, you can get treatment at any hospital or healthcare provider of your choice and file for a reimbursement claim with the original invoices and required documents.

  • Maternity benefits and alternative treatments

Several insurers cover maternity expenses under the family floater plans. This is beneficial for young couples who are planning or expecting a child. The cost of treatment and delivery during childbirth can be quite high, particularly in private hospitals. The family floater will cover the hospitalisation expenses during a normal delivery or under the C-section as per the coverage limits.  

  • Benefits apart from hospitalisation costs

Some insurers cover the costs for alternative treatments such as Ayurveda, Unani, Siddha, Homeopathy, Yoga, and Naturopathy. Other coverages include cashless facilities for day-care treatments, treatment at home under doctor’s advice, and pre and post-hospitalisation expenses up to a certain period. Insurers also cover ambulance services up to a certain amount, online or e-consultations, organ donation, lifetime renewability options, free preventive health check-ups, etc.

Considering the above benefits, you should buy a family floater instead of getting separate health policies for each member of your family.



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