Aging makes people more vulnerable to diseases as the immunity system grows weaker. The treatment for the illness in elderly people is lengthy and expensive too. Thus having a health insurance policy for your senior citizen parents are an absolute necessity.
The frequency of falling ill and vulnerability towards deadly diseases is more in old age. Most of the old people in India have ignored the need for a health insurance, ending up in a financial crisis when medical emergencies arise. People went to the extent of selling their land property and borrowing money to bear the cost of the treatment. If you have senior citizen parents at home who are not covered by any health insurance policy then it is high time to get one.
Besides a normal health insurance for parents it is also a good idea to purchase a cancer Health Insurance. Cancer, though now treatable, is unpredictable and can be diagnosed in any person at any age. The treatment for cancer is highly expensive and the medical costs only go higher each year. A person should always be prepared for the worst and have a cancer Health Insurance.
If you are planning to buy a health insurance policy for your parents of 60 years and above, then here is a detailed guideline:
- Get a separate health insurance policy for your parents: If you already have a family floater health insurance policy then you might be willing to include your parents in it as well. But most of the expert’s advice against it as it would only make your premiums expensive. Getting a separate health insurance policy for senior citizens is a better option if your parents are above 60. This will not only give you a separate financial assurance but also will cater to their medical needs without any compromises.
- Check the waiting period for pre-existing illnesses: If any of your parent is already having any kind of illnesses then before purchasing a Health plan you should always verify the waiting period for pre existing illnesses. Many insurance companies have a waiting period for pre existing illnesses around 2 to 3 years. Thus you must get a Health Insurance as soon as possible so that you can claim the amount when a medical emergency arises.
- Get a policy that has no renewability age limit- Most of the health insurance policies have a reliability age limit bound to only 75 to 80 years. In the case of senior citizens health insurance policy, the age limit can be up to 90 years. However if your parents are already 70 or more then it is advisable for you to look for a health insurance policy for senior citizens that have lifelong renewability.
- No Claim Bonus: A bonus is offered by the insurance companies to its clients who do not claim for the assured amount after the waiting period. This bonus can be in the form of a reduced premium. Some health insurance companies also add a bonus to the assured amount instead reducing the premiums. For a senior citizens Health Insurance policy, you should look for assured amount bonus in the form of No claim bonus. You parents will need the money so it is better to pay the premiums and get more money in the time of need.
- Tax benefit: Under section 80D act of Indian Income Tax the premiums paid on health insurance policy for senior citizens are eligible for the tax deduction. An individual insured who is below 60 years is eligible for a tax deduction of Rs. 25000 maximum. If the individual is above 60 years then a tax deduction up to Rs. 50000 can be claimed.