HEALTH INSURANCE

"When life isn’t game why play with your health"

What is a Health Insurance?

Health insurance is a type of insurance coverage that pays for medical, surgical, and sometimes dental expenses incurred by the insured. Health insurance can reimburse the insured for expenses incurred from illness or injury, or pay the care provider directly.

Terms of Health Insurance

  • Individual Health Insurance Plan: This is designed to cover an individual against various illnesses with cashless hospitalization and other add-on features.
  • Family Floater Insurance Plan: With this plan, you can cover all your family members against diseases under a single policy.
  • Surgery and Critical Illness Insurance Policy: This is usually brought as a standalone policy, or as a rider in case of treatment against serious illnesses like cancer, kidney failure, heart attack, paralysis and so on. As the treatment of such diseases is expensive, the premium is also on a higher side.
  • Senior Citizen Health Insurance Plan: This offers to protect you from health issues during your old age. According to IRDA norms, every insurer must provide cover for people up to the age of 65 years.
  • Preventive Healthcare: Undoubtedly health care is expensive and who wants to fall sick. So now insurers’ have preventive health care that offers to take care of you and not let you fall sick. This includes preventive care treatments like regular check-ups, consultation charges and other tests or x-ray fee concessions. The idea is to monitor your health at timely intervals and provide overall health care benefits.

Five major reasons for getting a health insurance:

  • Changing lifestyle: There are a plethora of reasons to have a health insurance policy in place. The tectonic shift in our lifestyle has made us more prone to a wide range of health disorders. Commuting, hectic work schedules, wrong eating habits, quality of food, and rising levels of pollution have increased the risk of developing health problems.
  • Rising medical costs: The medical costs have dramatically risen lately. So, in case of a medical emergency, consumers end up spending their savings, which takes a toll on their future plans. Reports highlight that Indians primarily depend on their own savings when it comes to tackling health emergencies.
  • Income tax benefit: Payments made towards health insurance premiums are also eligible for tax deductions under section 80D of the Indian Income Tax Act. Individuals up to 60 years of age can claim a deduction of up to Rs 25,000 for the health insurance premium paid for themselves, or for their spouse or children. One can also claim another Rs 50,000 as deduction if you buy health insurance for your parents aged 60 years and above.
  • This deduction will be available with respect of payments towards annual premium on health insurance policy, or preventive health check-up, of a senior citizen, or medical expenditure in respect of every senior citizen. So overall, if you are paying the health insurance premiums for your senior citizen parents, you can avail total deduction up to Rs. 75,000 (Rs. 25,000 + Rs. 50,000), from the Rs. 55,000 (Rs. 25,000 + Rs. 30,000) earlier.
  • Coverage of pre and post hospitalisation expenses: Not only mainstream medical costs, but also the cost of OPD (out-patient department) expenses, diagnostic tests have also risen in recent times which have made it even more vital for one to buy a health insurance policy. It is noteworthy that the medical policies not only cover the hospitalisation costs but also the expenses incurred towards OPD and diagnostic tests before and after a stipulated time period as prescribed by the policy.
  • Additional benefits: One also gets benefits such as ambulance coverage, coverage for day-care surgeries, coverage for health check-up and vaccination expenses under health insurance.