Given the increasing medical expenses, nowadays, health insurance has become a must. A health insurance policy can save you and your family by taking care of the medical bills that may arise if one of you gets sick and needs to be hospitalised. Additionally, in light of the COVID-19 pandemic, it has become more important than ever to keep you and your family protected because of the high transmissibility of the novel coronavirus. Before choosing a policy, you must consider several factors and decide on whether you want to have an individual insurance plan or a family floater health insurance policy.
While an individual health insurance plan covers a single individual, a family floater medical insurance policy covers the entire family—wife, husband, and children. Some insurance companies also offer family floater insurance plans that extend coverage to parents, siblings, and parents-in-law.
Family floater insurance plans are designed with the idea that an entire family is unlikely to fall ill at the same time. Any beneficiary can utilise as much amount as required up to the coverage amount. If the sum assured is exhausted, you can get it restored. Moreover, getting a family floater health insurance policy will cost you a lower overall premium than buying an individual plan for every family member. The premium is not the only thing you should look at while picking a family floater medical insurance policy—below are some other factors:
Exclusions and waiting period
These are two of the most important aspects to keep an eye out for while shortlisting policies. Most policies typically exclude:
● alternative therapies, such as Unani, naturopathy, and Ayurveda, and the likes
● lifestyle disorders, such as cirrhosis
If you plan to start a family soon, look for a policy that covers childbirth. Besides this, the waiting period for pre-existing illnesses, or even procedures, such as knee replacements, can go up to 2-4 years, so double-check the policy document about this clause. The waiting period can play a crucial role in determining which policy suits your family’s needs the best.
The coverage amount you require depends on several things, including healthcare expenses and the possibility of medical inflation in your residential city. It is not exaggerated to say that a family, living in a metro city, should consider a coverage amount of Rs 15-20 lakhs.
Note that you will have to pay a higher premium for a higher sum insured, so ensure you can afford the premium. The age of the oldest family member influences the premium and sum assured associated with a family floater plan. It helps if the oldest member is 24-60 years old. If your family includes senior citizens, it is a better idea to get them covered under a senior citizen health insurance policy since such plans are specifically designed to meet the needs of the elderly.
While signing up for a policy, make sure you find out the network of hospitals the insurer has. An insurer that has tie-ups with major hospitals in your locality should be preferred to avoid the stress of travelling to a far-off hospital during an emergency. The hospitals an insurer includes within its network know very well how to settle claims from that insurer and are liable to offer cashless benefits. While checking the network of hospitals, also look at the speciality and reputation of the hospitals.
All in all, it is safe to say that getting a family floater health insurance policy is a great way to safeguard your and your family’s finances in the event of a medical emergency.