The Individual Health Insurance plan covers only one individual, the policyholder, who will be eligible for the benefits of the health insurance plan basis the premium he has paid for this cover. This kind of health insurance for individuals offers cover only medical expenses incurred by the insured individual for benefits admissible under the chosen plan. Individual Health insurance is a contract between the insurance company and an individual wherein the insurance provider guarantees to take care of admissible medical costs of the latter based on the premium paid by the individual. All insurance companies have separate health insurance plans offering health insurance for individuals as well as insurance for family and group.
Every individual should buy health insurance and for themselves and members of their family, based on their requirements. Buying health insurance protects individuals from the sudden, unexpected costs of hospitalization (or other covered health events, like critical illnesses) which would otherwise make a major dent into household savings. Each person is exposed to various health hazards and a medical emergency can strike anyone of us without any prior warning. Healthcare is increasingly expensive, with technological advancements, new procedures and more effective medicines that have also driven up the costs of healthcare. While these high treatment expenses may be beyond the reach of many, taking the security of health insurance is much more affordable.
Though the latest NHP (National Health Protection) data do not give figures for 'out of pocket expenses’, the WHO has estimated that in 2017-18, the ‘out of pocket expense’ on Health care was 78% against a world average of 18%.This means that the penetration level of Individual Health Insurance is so low that people are paying for their medical treatment from their hard earned savings and not Health insurance. This is the largest opportunity that lies before the Indian Insurance industry.
|Insured’s Details||IT Deduction under section 80D||IT Deduction under section 80D||Total Eligible Tax Deduction|
|Self who is earning||₹25,000||₹5,000||₹30,000|
|Self + Spouse , (both who are earning)||₹25,000 + ₹25,000||₹5,000||₹55,000|
|Self + Spouse , (both who are earning) + Dependent Parents> 60 years||₹25,000 + ₹25,000 + ₹50,000||₹5,000||₹105,000|
In individual health insurance plans, each member of the family is covered under their respective insurance policies upto designated sum insured; whereas in the family floater health insurance plan, the health cover with the opted sum insured is shared by all the family members included in the plan.
No. While there are no restrictions and anyone at any age can avail an individual health insurance, there are some plans which have an entry age restriction between 65 and 70 years of age.
Individual health insurance plan offers tax deductions under section 80D of the Income Tax Act.
A waiting period is the length of time you, the insured, will have to wait before the benefits under the health policy can be utilised to the extent of the sum insured. Yes, all insurance policies, have a mandatory waiting period of 30 days for all benefits (except Accidental expenses) and then other benefits/coverages come with varying waiting periods between 24 and 48 months.
No, all insurance plans normally have a Deductible of Co-pay that will need to be borne by the insured, this is an additional cost apart from the than premiums that one has to pay.
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