Since the time a baby is born, parents do not leave any stone unturned for the bright future of their child. Raising a child is not an easy task. It is a huge responsibility. Parents work hard to fulfilling their needs, giving a child a good education and a better lifestyle.
As the child grows up, the parents also start aging. It is important to take care of their medical needs. Yet, we cannot deny that the medical costs and treatments sometimes can become a burden on the shoulder. Therefore, it is a wise decision to choose a comprehensive health insurance
plan for parents.
What are the Factors to Be Considered While Buying Health Insurance for Parents?
Let us explore the important factors that need to be considered while buying health insurance for parents:
Disclaimer: The tax benefit is subject to change as per the prevailing laws.
- Health Insurance Coverage: When it comes to buying a health insurance plan, ensure that the coverage is high. You need to understand that there is a correlation between the health insurance premium and the coverage received. Check with the insurance company in regards to whether the plan covers basic hospitalization costs or it covers both pre and posts hospitalization costs. Ensure that you opt for covers keeping in mind the medical inflation, age, and needs of your parents.
- Co-payment: When it comes to buying health insurance for senior citizens the policy mostly has the clause of co-payment. It means that the insured will bear a certain portion of the claim sum. This will be specified in the health insurance plan.
- Network Hospitals: When buying medical insurance for parents have a look at the registered network hospitals. It is recommended to go with a health insurance company that has a high number of hospitals across cities. A medical emergency usually does not come with prior notice.
- Pre-existing Illness: When buying a health insurance plan ensure that the information provided is accurate. In case your parents have any pre-existing ailment let your insurer know about it. If any information is found to be untrue, the claim shall be rejected. Besides, the insurance companies have a waiting period for certain pre-existing illnesses. Some of the pre-existing ailments are not covered in health insurance plans. The terms and conditions are well defined in the policy document and it differs from insurer to insurer.
- Claim Process. When choosing health insurance plans it is also important to understand the claim process. Choose a health insurance company that has goodwill in the market. Read the reviews and look at the claim settlement ratio. See to it that the process of claim settlement is easy so that you do not invest much time in doing the follow-ups for a health insurance claim.
- Tax Benefits: In case you are unaware a health insurance policy will help to avail the tax exemption under Section 80D. If you are paying the health insurance premium for yourself and your parents below 60 years of age then the tax benefit limit is Rs 50,000 on the medical insurance premium. In case the parents are 60 years of age and above the limit is extended up to Rs 75,000.
Over to You
Regardless of age, a health insurance policy is a must for one and all. If you have aging parents at home, ensure that they have adequate health insurance coverage. Remember, as the age of the parent's increase, they become more prone to illnesses or diseases.
Choose a medical insurance policy for parents only after you assess their needs. Let them avail themselves of the best medical attention without worrying about the finances. When choosing health insurance for your parents, have a thorough understanding of the inclusions and exclusions. Go through the policy wordings carefully and make a wise choice.