As our parents grow older, they require constant financial coverage to fight illnesses. Therefore, it's smart to insure your parents under health insurance. Buying a health cover for your parents not only reduces the burden on the family's breadwinner but also ensures that your parents' health care expenses are well taken care of.
Below are the few advantages that your parents will receive under a health insurance plan:
It offers the necessary financial aid against your parent's hospitalization expenses, daycare expenses, ambulance charges, domiciliary hospitalization expenses, among others.
Coverage for Pre-existing illness
After a certain waiting period, policies do cover pre-existing diseases. So, if your parent(s) is a victim of it, health insurance will take care of its expenses.
If you insure your parents under health insurance, you are liable to avail of tax benefits (up to Rs. 50,000 if your parents are older than 60 years, and up to Rs. 25,000 if they are younger than 60 years) under 80D of the Income Tax Act, 1961.
Protection Against Rising Healthcare Costs
Healthcare costs are on a constant rise. Thankfully, health insurance for your parents will make sure that your parents get the required medical treatment at the right time.
|Insurance Company||Plan Name||Entry Age||Sum Insured|
|Religare||Care Senior||61 years to no limit||Rs.3 Lakhs-10 Lakhs|
|Star Health Insurance Company||Senior Citizens Red Carpet Health Insurance Policy||60 years-75 years||Rs.1 lakh -25 Lakhs|
|Bajaj Allianz||Silver Health Plan||46 years-70 years||Rs.50,000-5 lakhs|
|HDFC ERGO General Insurance||Optima Restore Family Health Insurance||61 years to no limit||Rs.2 Lakhs, Rs.3 Lakhs or Rs. 5 Lakhs|
|National Insurance||Varistha Mediclaim for Senior Citizens||60 years-80 years||Rs. 1 Lakh- 2 Lakhs|
**Last Updated on 01-02-2021
Buying health insurance for your parents is indeed a crucial task. It's best to avoid any mistakes for a fruitful outcome. Below are a few important factors to consider while going for a health plan for your parents. Let's take a look at it.
Go for a plan, which offers entry after the age of 60 years, and where there is no cap on the maximum entry age. Also, make sure that it comes with lifetime renewability.
When you get old, illnesses more frequently knock on your door. And when that happens, you need full financial support. That's why it's best to consider the plan with the necessary coverage, which can easily handle the medical expenses of your parents.
It is vital to go for a plan that offers coverage against pre-existing diseases. To check the same, you must go through its terms and conditions. Do check the clause of pre-existing diseases (timeline for coverage).
Critical Illness Coverage
Critical illnesses such as Coronary Artery Surgery, Cancer, Renal Failure, and Stroke demand regular medical treatments and money. That's why most health insurance plans don't offer coverage against the same. Therefore, before buying a health policy for your parents, ensure that it doesn't shy away from such illnesses.
Make sure that the network hospitals in your vicinity are associated with your chosen company so that at the time of emergency, it is convenient to take your parent(s) to the hospital.
Insurance companies charge a higher premium to cover old folks, as they are more prone to get sick. Go through all the plans and choose the one, which offers the maximum coverage at lower premiums.
Claim Ratio of The Company
The reputation of the insurance company mainly depends on its claim ratio. In simple terms, a claim settlement ratio is the number of claims settled divided by the total number of claims raised. A higher ratio bets a higher chance of getting a successful claim at the time of emergency.
You never know when you may need additional protection via add-ons. On a safer bet, choose a company that has a list of useful add-ons on standby.
It means that a certain % of the amount is paid by the insured while the rest is covered by the insurance company. As treatments for old folks are expensive, it's best to opt for a policy with a 0% co-payment clause.
Effective health insurance for parents covers the following-
Expenses that take place after the admission for more than 24 hours like room charges, doctor fees, nursing fees, cost of medicine and drugs, etc.
Day care expenses that require less than 24 hours of hospitalisation. The volume depends on the insurer to the insurer.
Medical expenses that take place before and post-hospitalisation.
Ambulance charges and AYUSH benefits (varies from one insurer to another).
Pre-existing diseases after the waiting period is over.
Annual health check-ups.
Second medical opinion for critical illnesses (if available with the plan).
Medical insurance for parents comes with one disadvantage- exclusions. Some of the significant ones are listed below-
Any pre-existing injuries/diseases.Any diseases contracted within 30 days of availing of the policy.Any non-allopathic treatment.Self-inflicted injuries.Expenses as a result of drug abuse.Medical expenses incurred for treatment of AIDS.Cosmetic surgeryInjury due to war, the act of foreign army, etc.
If you are looking for a health insurance plan for your parents, then there are a few documents that you need to provide. Let's check them out-
Age Proof: Birth Certificate, Driving License, 10th or 12th mark sheet, Voter ID, Passport, etc.
Identity Proof: Driving License, Passport, Voter ID, PAN Card, Aadhar Card, which proves one's citizenship.
Address Proof: Electricity Bill, Telephone Bill, Ration Card, Driving License or Passport should mention the permanent address.
A few plans may ask for a medical check-up (usually for people above the age of 45 years) to make sure that the individual does not suffer from any chronic illness.
Passport Size Photo to have a record of the insured person's identity for future references.
Others requested by the insurance company.
1. Can I include my senior citizen parents in a family floater health insurance plan?
Yes, you can only if your plan allows you to.
2. Can I buy health insurance for my parents if they are suffering from High Blood Pressure or Diabetes?
Yes, you can. Just make sure that the chosen plan covers such pre-existing illnesses. Also, there are many disease-specific plans available in the market. You can consider them as well.
3. Do I need to pay a higher premium amount if I buy health insurance for my parents?
Yes. Health insurance for parents is costlier than general health insurance plans as your parents are more vulnerable to health risks, which may lead to other medical complications.
4. Can I increase the coverage amount of my parents' insurance?
Yes, that can be done. At the time of renewal, you can choose to increase the sum insured amount for better coverage. Also, you can avail of a critical illness rider (if available) to boost the plan coverage.
5. Is a single health insurance policy enough for both my parents?
With rising medical expenses, one policy and one sum insured may not be enough to cover both your parents. So, the most efficient thing to do here is to cover both your parents under separate policies.
6. Is there a maximum age limit to buy health insurance for parents?
Generally, the maximum age limit of health insurance plans for parents is 80 years.
Last updated on 01-02-2021