Obtaining health insurance is crucial to managing one’s personal and financial well-being. It helps to protect policyholders and their families against unexpected medical expenses and ensures access to quality healthcare. A variety of health insurance options are available for customers to select from.
One popular choice is the family floater health plan. It covers all family members under one policy. The sum insured amount is shared, and a single premium is paid. The amount paid in the event of a claim is typically a “floating” amount that can be used by any family member as needed.
More details about family floater plans will be examined in this article. Key factors influencing the buying decision will also be discussed to help you choose the appropriate coverage for your family’s needs.
What are the Advantages of a Family Health Insurance Policy?
A family health insurance plan is most suitable in cases where the family members are young and their age gap is low. In such a scenario, the following benefits can be availed.
Comprehensive Coverage
Self, spouse, dependent parents, dependent children, and dependent parents-in-law can be covered under a single plan.
Affordability
These policies are an affordable option for buyers because only one premium must be paid to cover the medical costs of the entire family.
Flexibility
Family health insurance plans allow buyers to add or remove family members from the coverage as needed. For example, a new spouse or a child may be added, or a dependent who is no longer eligible may be removed.
Convenience
With a family health insurance plan, you only need to manage one rather than multiple individual policies. Keeping track of your coverage becomes hassle-free, as you do not have to deal with multiple procedures, document requirements, premium payment dates, etc.
Tax Benefit
Tax savings is an additional cost benefit of family health insurance in India. The premium paid is eligible for deduction under section 80 D of the Income Tax Act. This leads to lowering the overall out-of-pocket costs for each individual.
What are the 5 Things to Know Before Selecting Health Insurance Plans for Family?
It can be overwhelming to navigate through the plethora of health insurance policies available in the market. However, the following parameters can guide your selection process.
Coverage
Make sure the plan covers the medical services that your family needs, such as prescriptions, mental health care, preventive care, daycare costs, domiciliary expenses, organ donor expenses, ambulance charges, AYUSH treatment and maternity care.
Network
Check which healthcare providers are in the plan’s network, and make sure they are convenient for your family. If there are not enough providers, you may have to travel far for care or wait a long time for appointments.
Sum Insured Flexibility
Because of inflation, medical facilities are becoming more and more expensive. As a result, you must select a plan that offers the ability to increase your total insured amount.
If a claim is not filed during the prior years, several insurers offer cumulative bonus benefits that raise your sum insured amount up to 100%.
Renewability Clause
The renewability age is capped at 60–65 years old by some mediclaim providers. You should instead go for a policy offering lifetime renewability. It allows you to renew the policy throughout your lifetime without facing restrictions like age limits.
Claim Process
Check the insurer’s claim settlement ratio, which shows the percentage of settled claims compared to those that were filed. Finalise the insurer that offers a higher ratio and a quicker settlement process. Also, try to understand the process beforehand. It will better prepare you to handle any issues that may arise.
Conclusion
Family floater plans can be a convenient and cost-effective alternative for policy buyers. Make sure to compare different plans and understand the details of each one, including the premiums, deductibles, copayment clause, renewability, etc.
You can select the best health insurance in India by conducting adequate research and matching plan specifics with your unique requirements. Don’t wait until it’s too late – take control of your health and financial security by getting the right mediclaim coverage today.
