Health insurance policy for senior citizens

Health Insurance Policy

In our country we value our traditions and know to respect our elders but when it comes to the health of our elders why we all not taking it seriously? Unlike us our grandparents are more susceptible to get any disease so it is important to take care of their health on old days and take a health insurance plan for them. The health condition of our grandparents is different from us so it is also obvious that we have to take a different type of coverage for them by keeping all the factors in mind. We have to consider the maximum coverage for them and choose the health insurance policy that will provide overall financial protection to the family.

If Suddenly any senior citizen in your family gets some illness, then it will cause a matter of stress for the whole family. So, this insurance policy will help to recover the debt crises in the family.

For the insurance companies, the age group of 60-80 is eligible to avail of senior citizen insurance plan. As per the recently updated conditions of IRDA, you can insure yourself in a regular insurance plan until the age of 65. If you want to continue your insurance policy after the age of 65 then you have to take a senior citizen plan. There are certain factors that must be considered as paramount while taking any policy for senior citizens.

The extent of Cover: Whenever you are going to buy any policy for old people take a look at the extent of the coverage amount. Generally, the company will provide 1-2 lakhs for the entire coverage. But if you are going to purchase the policy for the person whose health conditions are not good then raise the bar and enhance the coverage amount.

Co-Payment: Co-payment is inversely proportional to the premium amount. Under this, you have to pay some percentage of the total bill at the time of claim settlement and the rest payment will be done by the insurance company. The percentage you have to pay fluctuates from policy to policy and it is predefined at the time of purchasing the policy. If you pay the higher percent of co-payment then you have to pay a low premium. So, it is important to read the terms and conditions carefully and understand the norms of co-payment.

Waiting Period: In this time period for which some critical pre-existing diseases are not covered in the insurance policy. It is better to look for the waiting period if you are going to take an insurance plan in order to cover any specific disease. After the waiting period is over, you can make a claim for the list of pre-existing diseases.

Coverage of Pre-Existing Diseases (PEDs): Any disease that already existed at the time of purchasing the insurance plan is considered a Pre-existing disease. Normally for all insurance companies there is a fixed waiting period of 2-4 years to cover these diseases and you can also reduce this time period by paying extra premium. Certain chronic and critical diseases are still excluded from coverage.

Previous Medical History: The insured person has to mention all the previous medical history on the proposal form at the time of purchasing the policy. Sometimes the person himself is unaware of any medical emergency. At that time, we can go for a full body check-up to get a better idea about the health condition of the senior citizens. If you will hide any illness and further it will get detected at the time of claiming then you might get an issue in successful claiming.

Take regular medical check-ups: When you purchase any insurance plan for an aged person then the insurance provider will conduct a full body check-up for the insured. In this check-up they will perform blood sugar tests, lipid tests, kidney and liver check-ups, sonography and urine test to get the current medical condition. The purpose of these check-ups is to verify the accuracy of the provided information.

Procedures that are covered in the Health Insurance Policy of Senior Citizen:

  • All expenses of in-patient hospitalization in case of treatment of injury/accident/disease
  • Room rent in hospitals and transportation expenses
  • Cashless treatment at preferred network hospitals
  • Day-care expenses
  • All pre-existing diseases will be covered after completing the waiting period
  • Pre and post hospitalization expenses
  • Critical illness rider option
  • Organ donor expenses
  • Domiciliary expenses

Benefits of having Health Insurance plan for Senior Citizens:

  • The hassle-free and convenient claim settlement process
  • The patient can take Cashless treatment at any network hospitalization if they are available to admit for more than 24 hours
  • You can renew the policy for life until death
  • By taking a senior citizen’s health insurance plan you can avail cover for medical bills, room charges, doctor’s fees, in-patient health expenses, etc.
  • Ambulance cost will also cover by the insurance company
  • Pre and Post hospitalization expenses are covered
  • Some Pre-existing diseases are covered once the waiting period is over

This insurance will directly provide protection to your loved ones and you can also take many other benefits from it. On a senior citizen plan you can also avail double discount on tax savings. So before buying any insurance check online quotes to compare and choose from the best. By taking a health insurance policy for your elder ones you can spend your whole life with peace.

Health insurance guide to the right insurance policy and steps of claims

Buy Health Insurance

In life, financial stability is needed at every step. Right from family responsibilities to household expenses, there are several things in which you will need to spend money. Every home sets a monthly budget so that their requirements can be met accordingly. But, have you ever experienced a financial crisis? Do you know want to do if you get hit by health problems? Health related issues always come when you don’t expect them. Just one hospitalization from any family member and your entire budget will get scattered. To get relief from financial woes is an important reason to buy health insuranceWith the help of health insurance, you can get financial stability during bad health times.  

Summarization of some crucial benefits of availing health insurance:

  • One of the important benefits of this insurance is cashless treatment. This means the insured person or its family will get cashless treatments. After treatment, the insurer will work in sync with the hospitals for the payment.
  • There will be benefits of tax as premium paid on Health insurance is considered tax-deductible under the Income Tax Act. This is a also a crucial reason to buy health insurance.
  • There are some plans of insurance in which the spouse, parents, and children can also be insured under the same policy.
  • If there will be any ambulance charges, it will get covered under the health insurance. 
  • Another benefit that the insured person will get is pre and post hospitalization charges up to different periods. This will depend on the type of insurance that you have purchased. Not just this, you will also get the options for health checkups under health insurance.

The good thing about a health insurance is that you or your families don’t have to be dependent on others for payment of medical costs. 

Tips for buying a suitable health insurance

Which health insurance policy will be good? How to find the right health insurance? What if I won’t get good coverage? All these questions are very common to the policyholders. Before buying any insurance policy, just follow these tips efficiently: 

Go through different plans: You are always advised not just stick to the first insurance plan that you get. You will have to have a sneak peek of different plans of health insurance so that you can get to know about their benefits. The main reason to buy health insurance is to get financial cover many diseases. So, don’t forget to have a look at the coverage against the types of diseases.  With a proper review of multiple policies, the consumers will be able to make a better decision. 

Sometimes, the medical cost can be traumatized to the people. So, analyzing several can help find the right plan. 

What’s your budget and requirement?: One of the common mistakes that people do while searching the insurance policies is neglecting their needs and budget. The consumers need to be sure about the details and needs of the policies. The consumer needs to see whether their family’s health needs will be covered under the plans or not. Right from transport charges to medicines and hospitalization to other medical costs, all these will cost you a bit high. So, consider all these costs whenever you are deciding your budget for buying health insurance. 

After all reputation matters: When you are sure about the policy and your requirement, you can search for the background of the insurer. You shouldn’t overlook the company’s market reputation. One of the important things that need consideration is the claim settlement ratio. There are different ways of reviewing the policies of the company. This includes seeking insurance agents to help and searching on the online forums. Forums are available on the internet to help the consumers to ask their queries and get answers from different policyholders or experts. 

Make a comparison: After following all the above mentioned steps, your list of the insurance policies will get narrowed. The last tip that the people needs to follow is making a comparison between a few policies. You can do this based on premium rates, coverage, and claim. With this, you will get a suitable health policy that is suitable as per your needs. There can be a different reason to buy health insurance but you must be careful while choosing them.

Claiming insurance is sometimes confusing for those who don’t have much idea about insurance. Here is a list of some steps that can help you in claiming your insurance:

Steps to claim insurance

Get your receipts ready

The first step is to get the entire itemized bill from the doctor. In the itemized bill, there will be all the lists of the medical service that you got from the hospital. Also, mention the medical costs or other related costs in the itemized bill. For the claim process, the itemized bill is mandatory that will go with the claim form. 

Fill the claim form

First, download a claim form from the company’s website. Fill it out and proceed for the next step.  After this, you will make a few copies of the claim form. This will help you if you somehow misplace the form. Also, make sure that you have mentioned correct details in the form such as date, claim amount, medical costs, etc. If not filled correctly, it may be denied by the company. 

Go for a review of the claim

Before sending the claim form, you need to be sure that you have mentioned the correct information. So, review the form carefully and organize them in order. Now, send the form to the company and keep looking for the claim date. 

With a few steps, you will be done with the claim process of health insurance. Several benefits of health insurance make the people buy it and secure their lives financially for the future. No matter what is your reason to buy health insurance, you must always follow some important tips to find the best one for you. 

How to avail tax benefits in Health Insurance?

Health Insurance

In this fast-paced life, we don’t know about what is going to happen next. So, it is better to be on the safer side and have Health Insurance to take care of your family and beloved ones. 

We all have heard about health insurance and must opt for one for our family including parents and kids. Basically, people take health insurance to cover the financial risk in case of medical emergencies. Health insurance has more other benefits that we all must know so that we can avail that benefit. A known benefit that we can take from health insurance is the tax benefit. We all know about taxes that we pay to the government as compulsory financial charges. If you own health insurance policy then you can take a discount on tax-paying. You can avail these 4 types of deductions on taxes as per section 80(D):

  • Tax deduction in the premium of health insurance if you are taking the insurance for you and your family.
  • Tax deduction in the premium of insurance if you are purchasing the insurance for your parents.
  • You will get tax deductions in the expenses of preventive health check-ups.
  • You will get tax benefits on the medical expenditures of super senior citizens.

Criteria to avail the tax benefits:

To get the rebate in tax-paying there are certain criteria that the payer has to follow. Specifically, the premium you are paying for the medical coverage is deducted from the actual income.

  • If in your family none of your parents are more than 60 years of age then the deduction is of Rs 25,000. You pay a premium of RS 25,000 for the health insurance. Then you can claim a total deduction of Rs. 50,000.
  • If either parent in your family is of more than 60 years then you can avail tax benefit of RS. 50,000 for health insurance. You are paying a premium of Rs. 25,000 for your family including your parents, spouse and children. Then you can claim a total deduction of Rs. 75,000 annually.
  • If the eldest member in your family is of more than 60 years either it is you, your spouse or your children, then he/she can make a claim up to Rs 50,000 as tax benefit on health insurance. Additionally, for your parents (more than 60 years) you are getting health insurance up to Rs 50,000 in a tax benefit. So, you can claim a total deduction of Rs. 1,00,000 annually.

Apart from these, if any of your parents are more than 80 years of age (Super senior citizens), then you can avail an Rs.50,000 in a year for medical expenses. This limit initially was of RS. 30,000 but the government has increased this amount to Rs. 50,000 from the financial year 2018-19. Because health risk increases with the increase in age so the people of more than 80 years are at high medical risk.

Exclusions in Income tax act for section 80 D: As per the guideline of the Income-tax Act there are some exclusions. These excluded factors will not be able to avail the tax benefits:

Premium paid in cash: In case the premium holder will pay the premium amount of health insurance in cash then he/she will not be eligible to get the tax benefits.

Group Health Insurance: Group health insurance is basically taken for employees that are working for an organization and covered many families in it. As per the rules of Income-tax act group health insurance is not eligible for getting any tax benefits.

Section 80D of the Income Tax Act also provides some extension: These extensions are provided to pay an extra amount to the policyholder in case of serious illness or any critical disease.

Section 80DDB: This extension will provide an advantage to those who are suffering from any type of serious illness to take tax exemptions up to 2 lakhs Rupees. The list of disease covered under section 80DDB are –

  • Malignant Cancers
  • Neurological diseases of more than 40% disability level
  • Motor Neuron Disease
  • Chorea
  • Hemiballismus
  • Parkinson’s Disease
  • Full Blown Acquired Immuno-Deficiency Syndrome (AIDS)
  • Chronic Renal failure
  • Hematological disorders

Section 80DD: This extension is provided to the people having any dependent in the family who is disabled. Under this you can claim up to 75,000.

Section 80U: This extension is beneficial for people who are disabled and unable to do work. Generally, you can make a claim for Rs 75,000, but for severe cases you can also claim up to RS. 1,25,000.

The basic difference between Section 80D and Section 80C: Apart from section 80D, Section 80C in the income tax act will also give you the opportunity to save taxes.

In section 80D, the policyholder will get the tax exemption in health insurance of self, spouse, kids and parents whereas in section 80C you can al=vail various benefits on tax by investment and expenses.

In section 80D you can avail of a maximum tax exemption of 1.5 lakhs whereas in section 80C the maximum limit is 65,000.

How to claim for tax benefit?

If a person wants to take tax benefits then he has to submit the receipt of premium payment and the policy copy on which name of the family members, relation with the policyholder and age of each family member is clearly mentioned.

You can claim the tax benefits by online and offline methods. To avail it online you can apply it on Revenue’s myAccount service. You can also download the Revapp application on your tablet or mobile device to apply online.

In case you want to apply it offline then you have to fill Form 12 (pdf), or Form 12S and post or submit it to the revenue office. To request Form 12 or Form 12S you can call the Revenue department or take a printout of the form available on the website of the Revenue department. On-call you have to provide a name, complete postal address with pin code, the number of forms required and Your PPS number.