Family Health Insurance Plan
The growing medical cost and the pandemic situation have raised the alarm for those who have been procrastinating on the idea of health insurance plans. With the right kind of health insurance, one not only guarantees the safety and security of their loved ones, but also assures you of hassle-free treatment through the cashless coverage. Thanks to the several insurance providers that provide family health insurance plans. Additionally, several government initiatives have assured accidental coverage, Corona treatment cost coverage, and other medical expenses. All this makes health insurance the best choice for any person.
There are different kinds of Health Insurance Plans:
Indemnity plans- Conventional health insurance plans provide coverage of hospitalization expenses up to the sum insured. The following health insurance policies fall under the indemnity plan:
- Medical insurance
- Individual health insurance
- Family floater plan
- Unit-linked health plans
Defined Benefits Plan- In this plan, the insured is given a lump sum amount in case they are detected with a particular disease. The following health insurance policies fall under the indemnity plan:
- Critical illness plan
- Personal accident plan
- Hospitalization cash benefit plan
Exploring more about Family Health Insurance or Family Floater Plan
A family floater plan is a policy where the insurance coverage is provided to several members of a single-family. If you have a large family, then this is the right plan for you. In case of multiple illnesses in the family, the sum assured is distributed between the family members, and this policy entertains multiple claims.
Six Key Features of Family Floater Plan
- The primary feature of this health insurance plan is that the sum assured is extended to provide coverage to several members of the family in case the need arises.
- This plan also provides cashless hospitalization coverage. In case of an emergency, such provisions prove to be a life saviour.
- In some emergency cases like accidents or admission in the non-network hospital, the insurer may allow the treatment first and will later reimburse the amount.
- Some of the family floater insurance providers may also cover the cost of room rent (hospitalization) up to a certain amount
- Some family floater plans work on a co-pay basis, where the insurer will pay a certain percentage of the cost insured, and the insurer will pay the rest. This has a lower premium because it doesn’t share the hospitalization costs.
- Some insurance providers may ask for medical examination if a higher insured amount is involved.
With all these sets of features, the family floater plan becomes the best choice. Besides providing the cost-effective insurance plan, it also provides tax benefits under section 80D of the Income Tax Act. The exemption is up to Rs. 15,000. So, if you have still not invested in a family floater plan, you must do it today.
Who should invest in a family floater plan?
This plan is ideal for the married and the ones who have children. It provides complete coverage for the entire family. It is also good for those who have older adults in the family. Moreover, with one policy, you get coverage for the entire family that eventually lowers down the premium, thus making it a cost-effective health insurance plan.
Exclusions of family floater insurance plan
Although family floater insurance provides the best coverage, it doesn’t include the following:
- Pre-existing diseases are not a part of this plan
- If you plan to get the older adult a part of this plan, then the premium may increase. Usually, if the senior citizen who is above 60 years of age is included in the plan, the premium goes high.
- Childbirth is not covered under this plan.
- Experimental treatment, congenital diseases, non-medical expenses, etc. are not covered under this plan.