A health insurance plan is a crucial part of any financial planning. This policy provides financial protection against the high costs of hospitalisation for you and your family.
It is important to know the differences between plans and their ability to meet your needs.
Family and senior citizen health insurance policies are two common types of plans. This blog will help you understand the differences between them and select the right policy for your loved one.
Understanding Family Health Insurance Plans
A family health insurance plan covers the entire family with a single policy. These plans, also called family floater policies, typically cover the policyholder and their spouse as well as children and parents.
You can buy a family floater policy instead of purchasing individual health insurance for each member of your family. The insured sum will be divided among all family members.
If you purchase a family plan that covers you, your spouse, and your two children with an insured amount of Rs 10 lakhs, you are entitled to a maximum of Rs 10 lakhs in case any member of your family is hospitalised.
Calculation of family health insurance costs is based on age, health and coverage chosen.
Why you should buy a family health insurance plan
Here are some reasons why you should consider purchasing a family health insurance plan.
- The Entire Family is Covered by Comprehensive Insurance
A family floater policy covers the entire family under one policy. It usually includes the policyholder and spouse, as well as children, and in some cases, parents who are dependent. You can save time by having a single policy that covers the needs of the entire family. - Family Health Insurance Cost
A family floater plan offers a number of benefits, including cost-effectiveness. Individual health insurance for every family member can be costly. A family floater policy allows you to pay one premium that is usually lower than the sum of premiums for individual policies. This is the most affordable way to insure a family. - Flexible and High Sum Assured
Most family health insurance plans offer a larger sum insured than individual policies. Any family member can use the sum insured, which ensures that there is enough coverage when it’s needed. If, for example, one member of the family requires extensive medical care, then the entire amount insured can be used without restriction. - Simplified management
Multiple health insurance policies are difficult to manage. With a family floater, you only have to manage and renew one policy. This simplifies administrative tasks and reduces your risk of forgetting important dates for renewal or updates to your health insurance plan.
Understanding Senior Citizen Health Insurance Plans
These plans are designed to specifically meet the needs of seniors. These plans are designed to meet the medical needs of older people who may require more frequent medical attention.
A senior citizen health plan would be a good option if you were looking for health insurance to cover your parents. The premiums are usually higher for these plans. You can purchase a senior citizens’ health insurance plan either for your parents or just one.
Why Senior Citizens Should Buy Health Insurance
Consider these reasons for purchasing senior citizen health insurance plans for your parents:
You can tailor-make coverage for your parents
These policies cover medical conditions and illnesses that are more common in older people. These plans cover chronic illnesses, age-related ailments and other health concerns that are not covered by a family floater policy. These plans ensure that your parents get the care they require without compromise.
Lifetime Renewal
The benefit of renewability for senior citizen health insurance is that it can be renewed indefinitely. It is an advantage for parents in their golden years who are most likely to need a health insurance plan.
Tax benefits
Tax benefits up to Rs 50,000 can be claimed on premiums paid for senior citizens’ health insurance. It is a double benefit as you can enjoy financial savings and tax deductions while also protecting your parents’ health.
Health insurance plans for seniors and families
Let’s explore the differences in family health insurance and senior citizen insurance, based on different aspects.
Coverage
The plan will cover all family members regardless of their age. These may include the insured, their spouse, children who are dependent, and parents. A senior citizen health insurance plan, on the other hand, provides coverage only to senior citizens.
Minimum Age to Enter
A family health insurance plan does not have a minimum age requirement. In such a plan, you can include your child after 90 days. A senior citizen’s health insurance plan may have an entry age restriction.
Discounts
The premiums for a family floating plan are determined by the health and age of the oldest member. Premiums are affordable if all family members under 40 years of age are covered by the policy. The premiums for senior health insurance plans are determined by the age of the insured and their medical condition. It is still much cheaper than medical care for the elderly.
Eligibility criteria
A family floater policy is available to anyone who wants to cover their family’s health. The primary policyholder must be 18 or older at the time the policy is purchased by most insurance companies. The eligibility criteria for senior health plans may vary depending on the insurer.
The Bottom Line
Understanding the needs of each member of your family is essential to choosing the best health care insurance plan. If you want to cover several family members at a low cost, a family floater policy is the best option. If you are looking for tailored coverage for your parents who are elderly, you may want to consider a senior citizens’ health insurance plan.
Reliance General Insurance provides affordable health insurance to senior citizens, families and individual customers. Compare the family health insurance options we offer and select the plan that best suits your needs. You get the assurance that we will settle your claim quickly and transparently.
FAQs
Can senior citizens’ health insurance plans be excluded?
The terms and conditions of the insurer will determine what is included and excluded in a health insurance plan. Please carefully read the policy before purchasing.
Can I purchase separate senior health insurance for my parents?
Yes. You can purchase separate senior citizen plans for your parents, or you can include them in a single policy.
How is the cost of family health insurance calculated?
The premiums of family floater policies are calculated according to factors like the age and health status of the oldest member in the family, the sum insured, the waiting period, the co-payment, etc.
