Summary: Amid medical inflation and the high risk of health issues, keeping the family shielded by a health plan is essential. There are situations where a family floater plan is a better choice for those seeking health insurance coverage for all household members. However, the decision shouldn’t be made in haste, as the whole family’s financial future and overall well-being can depend on it. It requires careful consideration of several factors like coverage amount, pre-existing conditions, network hospitals, co-payments, waiting periods, flexibility to add new members and renewal options. Read on to learn more about comparing plans online and finding the most affordable and beneficial option.

Introduction

When selecting a health plan, you can buy individual plans for all family members or a plan that covers everyone in the household under one policy. And it’s a tough call because the coverage will be wider in individual plans while the family floater plan will be far more budget-friendly. However, if you opt for a family floater plan, many options are available, depending on the scope of coverage and number of family members included in the policy. Let’s explore things to consider while buying a family floater plan.

What is Family Health Insurance?

Family health insurance covers all the members of your household under a single policy. The policy provides comprehensive coverage, ensuring you and your family are financially protected during unfortunate medical situations. In a family floater, the sum insured gets shared among all the insured members, and it can be utilised by any member when the need arises until it is exhausted.

Eligibility criteria for buying Family Health Insurance

1. Age: The minimum age to buy health insurance for your family is 18, and the maximum entry age is 60-65, depending on the insurance provider. Newborns can be added to the family floater after 90 days of birth. If you have a maternity health insurance plan, the newborn is covered till he/she completes 90 days.

2. Pre-existing Conditions: If you have any pre-existing diseases like diabetes or heart problems, you may need to undergo some medical tests before buying the policy. Most health plans cover pre-existing conditions after a waiting period of 2-4 years, and some insurers may charge an additional premium to cover specific diseases. You must disclose your medical history at the time of purchasing the plan.

How many members can be covered under Family Health Insurance?

Under family health insurance, the members who can be covered include yourself, your spouse, dependent children, parents, and parents-in-law. The number of members can vary from insurer to insurer. If you want to add a member to your existing plan, you can do it only at the time of renewal by paying an additional premium.

Benefits of Family Health Insurance

Let’s have a look at the benefits of buying a family health insurance policy —

• Cost-effective: A family health insurance plan is more cost-effective than buying individual healthcare plans for each member, as there’s one premium for the entire family.
• Easy to manage: Whether paying the premiums on time or keeping track of NCB earned, managing a single policy is easier than keeping track of multiple individual health insurance policies.
• Protects your savings: With rising medical costs, a family health insurance plan will protect your savings by covering the medical expenses of all members under one policy.
• Tax benefits: The premium paid towards family health insurance is eligible for a tax deduction of up to Rs 1,00,000 in a year under Section 80D of the Income Tax Act. You can also avail of a tax benefit of Rs 5,000 for preventive health check-ups.
• Easy to add new members: If you want to secure your newborn or your parents with health insurance, you can add them to your existing family floater instead of buying a new policy.

Documents required to buy Family Health Insurance

• Age proof: Copy of Aadhaar card/PAN card/Passport/Driving Licence/Voter ID card/Birth certificate
• Address proof: Copy of Aadhaar card/Ration card/PAN card/Driving Licence/utility bills like telephone or electricity bill
• Identity proof: Copy of Aadhaar card/Driving License/PAN card/Passport/passport size photo

How to choose the best Family Health Insurance?

You should consider several factors when choosing the best family health insurance. Here are some of them —

• Coverage: It’s important to review the coverage benefits while buying a family floater. Make sure the policy covers the cost of hospitalisation, pre- and post-hospitalisation, domiciliary treatment, daycare procedures, organ donor expenses, etc. Check if the policy offers benefits like lifetime renewability, tax benefits, and no claim bonus.
• Family profile: Consider the age, medical conditions, and other specific needs of each member. This will help get the right coverage to meet the family’s requirements.
• Sum insured flexibility: The family health insurance plan should have the flexibility to increase the sum insured when required. Check if the plan comes with a No Claim Bonus, as some insurers increase the sum insured at the same premium for not making any claims in a policy year.
• Network hospitals: Select the health insurance provider with a wide network of hospitals to avail of cashless hospitalisation. In emergencies, you can rush to any network hospital without worrying about arranging funds at the last minute for the treatment.
• Claim process: The insurance company with a smooth and seamless claim settlement process should be your first choice. After all, a health insurance policy is supposed to get your claims settled with ease.
• Waiting period: Be familiar with the waiting periods of pre-existing conditions and specific illnesses to plan your medical expenses accordingly. Some insurers may have a smaller waiting period or waive it for an additional premium.
• Exclusions: Choose a policy with the least exclusions to get comprehensive coverage.
• Claim settlement ratio: If an insurance company has a high claim settlement ratio, it means the claims are settled efficiently without any hassles. Choose an insurer with a good record of claim settlements.
• Affordable premiums: Compare the premiums of family plans offered by different insurance providers and buy the one that suits your pocket. Remember, any add-on will increase the premium, so pick the add-on covers wisely and only if required.

How to Buy Family Health Insurance Online

1. Visit the insurer’s official website and select Buy Health Insurance.
2. Enter the sum insured, the number of members to be insured, their age, PIN Code, and mobile number. Click on View Plans.
3. Select the plan type and fill in all other required details.
4. You will now be directed to the secure payment gateway.
5. As soon as you pay, you will receive the policy document instantly in your mailbox.

Conclusion

For a household of four or more members, family health insurance is the best way to secure everyone under a single plan. There are certain factors you should consider to ensure you buy the best plan with comprehensive coverage. Before buying, check out the options available and select the policy that will benefit you and your family most.

Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.

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