Keep reading for a detailed overview of important factors to consider when selecting the best mediclaim policies for families in India.
What is the Need for the Best Family Mediclaim Policy?
A proper mediclaim policy includes health expenses arising from hospitalisation, surgery, and medicines, which can quickly deplete one's savings. Health insurance plans for family protects against this financial risk by covering expenses for all family members under a single policy.
Rather than having different policies for different individuals, a single policy allows the entire family to share a single sum insured through a family floater, making it relatively cost-effective and convenient. A well-chosen family mediclaim policy ensures:
- Access to Top-quality Care: This ensures timely access to quality healthcare without fear of rapidly increasing hospital bills or unexpected medical expenses.
- Availability of Network Hospitals: This feature enables hassle-free admission and treatment, as the insurer directly pays the bills at partnered hospitals.
- Protection against Rising Medical Costs Due to Inflation: This policy safeguards your savings from the increasing costs of treatments, surgeries, and medications.
- Tax benefits under Section 80D of the Income Tax Act: The premiums paid for the policy are tax-deductible, helping individuals save on taxes while protecting their family's health.
What are the Key Factors for Choosing a Family Mediclaim Policy?
The following are the key factors for choosing a family mediclaim policy:
1 - Assess Your Family's Healthcare Needs
Consider your family's age, health history, and lifestyle before choosing a plan. For example, if the parents are elderly, their choice of policies should include coverage for pre-existing conditions and higher coverage for age-related ailments. Families with young children might focus on vaccination and preventive health check-ups.
2 - Cashless Treatment
Choose a health insurer with a vast network of cashless hospitals. This allows you to get treatment without paying at the hospital, as the insurer directly handles your bill. Star Health Insurance, for example, has over 14,000 network hospitals nationwide with a 97% cashless final approval rate within 3 hours.
3 - Comprehensive Coverage
Choose a plan that offers all-around protection, including:
- Pre and post-hospitalisation expenses
- Daycare procedures
- Ambulance charges
- Maternity and newborn coverage
- Critical illness and organ donor benefits
Comprehensive coverage ensures that your family is protected against all kinds of medical emergencies.
4 - Pre-Existing Disease Coverage
Check the waiting period for coverage, if any, for pre-existing conditions among family members. The shorter the waiting period, the quicker you can start claiming coverage for those illnesses. Most leading insurers today offer policies with a 2–3 year waiting period.
5 - Tax Benefits
Premiums paid for family mediclaim policies are eligible for tax deduction under Sec 80D, enabling you to save on your income tax while securing your family's health and finances.
6 - No-Claim Bonus (NCB)
Most insurance companies give a No-Claim Bonus for every claim-free year. This means that if no one from the family makes a claim during the policy period, the sum insured typically increases by 10-50% without a corresponding premium increase.
Over time, this will significantly enhance your cover without any extra cost, serving as a reward for maintaining your health.
7 - Lifetime Renewability
Always choose a mediclaim policy that offers lifetime renewability. As you grow older, the health risks increase, and hence, continuous coverage is necessary. A policy with this feature will ensure that your family will not face interruptions in coverage as you grow older or develop new health conditions.
How to Choose a Suitable Mediclaim Insurance Plan for your Family?
Choosing the best plan depends on various personal and financial factors. Here is how to make a wise decision:
- Compare Multiple Policies: Review the coverage, exclusions, premiums, and claim settlement ratios of various insurers before making a final decision.
- Evaluate the Sum Insured: Select a coverage amount that can cover hospital bills for all family members, especially in urban areas, to ensure comprehensive protection.
- Check Claim Settlement Ratio (CSR): A higher CSR indicates a more trustworthy insurer.
- Review Network Hospitals: Ensure the network includes all reputable hospitals located near your home.
- Understand Sub-Limits and Co-Payments: Some policies set a cap on coverage for specific room rates or treatments; always review these details carefully.
- Look for Value-Added Features: An insurer may offer value-added features, such as wellness benefits, teleconsultations, or annual health check-ups, as part of the plan.
Choosing the right mediclaim policy for your family helps you prepare for unexpected medical expenses. Each plan offers different benefits, including maternity coverage, global health protection, and preventive care, which provide your family with access to quality healthcare without incurring significant financial stress.
Ultimately, a thorough health insurance plan for your family provides long-term security and peace of mind. It protects your family during emergencies, encourages regular healthcare, and prepares you for any medical needs both in the country and abroad.
