BackShould I opt for deductibles to reduce insurance premium?
When selecting a policy, one should prioritize those that provide coverage for pre-existing conditions promptly, ensuring comprehensive protection
PremiumI want to buy a health insurance policy for my parents. My father is 59 years old and diabetic. My mother is 55 years old but has no pre-existing diseases. Should I get a family floater policy for them or individual policies? To keep the premium lower, should I opt for deductibles?
—Name withheld on request
One can consider buying a family floater insurance for the parents. It is usually more affordable than buying two individual policies. These plans often offer more convenience too, considering ageing parents. When selecting a policy, one should prioritize those that provide coverage for pre-existing conditions promptly, ensuring comprehensive protection.
While it might be tempting to reduce premiums by adding a deductible, one should exercise caution. Deductibles typically start at ₹50,000, requiring one to cover costs up to this amount from your own pocket. In many cases, the potential savings from lower premiums may not outweigh the financial strain of higher out of pocket expenses.
One should consider the specific health needs of the family members. If your father has diabetes, explore insurance plans tailored for diabetic patients. Specialized coverage can offer targeted benefits and support that align with your father’s health requirements. Assess the budget carefully to strike a balance between affordability and comprehensive coverage, tailoring the insurance plan to suit the unique health considerations of parents.
I am 31 years old and plan to get married in five months. Should I buy an individual plan right now or wait for 6 months to get family floater plan? Are there provisions to add a newborn later?
—Name withheld on request
The flexibility of most policies will allow you to include your spouse or children during the policy period or at renewal, enhancing the coverage for your entire family. It is also important to note that when adding family members, you will be required to pay the differential premium to account for the extended coverage.
It is advisable to thoroughly compare options. In particular, consider plans that provide maternity coverage, although the options might be somewhat limited. Maternity coverage can be crucial for comprehensive family health protection, especially if you are planning to expand your family.
Buy a Health Insurance plan immediately, in case you don’t have one. You can add your spouse or kids to your policy during the policy period or at renewal. There are many plans available for comparison in the industry today. It is important to buy a policy which suits your individual needs the most and can cater to your requirements. It is more important to understand the terms and conditions mentioned in the policy, so that there is no issue in case of claim settlements.
Kalpesh Chavan is senior vice president & product head at elephant.in (Alliance Insurance Brokers).
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