Give Your Parents the Best Senior Citizens’ Health Insurance Plan
Since our childhood, our parents have been there for us and stuck with us. They never let us feel restricted or denied and made sure to fulfil all our demands, to the extent possible. Our parents have been A1 since day one.
As we grew from babies into mature adults, our parents became older and weaker. The entire life of our parents has been running, trying to secure us, protect us, and love us. We, being responsible kids of our parents, have the duty of giving back what we received in all these years. Yes, we will not be able to reciprocate it, but we must try.
The least we can do is, provide them with the security that can be financial and in matters of sickness and health. Financial security means giving some money to your parents. Whereas for health security, you shall purchase a senior citizen plan for protecting your parents in their old age.
Why Senior Citizen Insurance Policy
If you have purchased a senior citizen plan way in the earliest times, then, in times of emergency, no dent shall occur, and your parents and you would not need to use up your entire savings. Also, purchasing such a plan earlier helps you pay a lesser premium and receive a better cover. The early bird gets the worm, is the idea applicable here.
- Inadequate Cover
Even if your parents have a solo or family insurance plan or group insurance, during the later years when they get too old and weak, and God forbid, need to be treated, at such times, the coverage of these plans may not be sufficient. So, it is advisable to subscribe to a senior citizen plan as add-on to the existing policy.
- Additional benefits
It is a belief that most Indian parents suffer from depression, obesity, and lack of physical movement. For such purposes, some plans provide additional benefits like providing the right kind of diet, fitness regime, nutrition, and health-related advice.
- Medical Inflation
With the advancement of technology and science, there has been a rapid development in the medical sector. All these facts have further led to inflation in the costs of the medical treatments provided. The inflation for curing medical conditions rise by 15% every year. To fight this issue, purchasing senior citizen insurance policies is most advisable.
- Age Factor
Every company has a specific age limit until when a person can get cover for themselves. In senior citizen plans, the maximum age for subscribing to such a policy is 80 years of age, while one can begin the purchase from 60 years of age.
- Healthcare expenditure
It is noticeable that the expenses incurred for treating senior citizens are 3.8 times higher than that of younger people’s medication expenses. That is largely because, during treatment, a doctor has to look out for many triggering factors and have to prevent any complications.
Features of Senior Citizen Health Insurance Plan
- In-patient: On admission into a hospital, the treatment phase of a senior citizen is covered as are the hospitalization expenses.
- Hospitalization Expenses: Pre and post hospitalization expenses such as tests, day-care, check-ups are also coverable by a senior citizen insurance plan.
- Tax Benefit: Senior citizens enjoy additional tax savings by using the age factor. If you buy an insurance plan for your parents, you are most likely to enjoy an additional Rs.50,000 exemptions from your taxable income.
- Ambulance charges: In case of emergency, when the patient needs to be rushed to the hospital, an ambulance is one of the safest and fastest vehicles. The ambulance expenses are also claimable.
- Pre-existing diseases: Senior citizen insurance plans cover pre-existing conditions only if the waiting period is completed.
- Coverage: These plans have a lower premium payment but a higher sum coverage.
- Medical tests: Many plans provide such policies without medical check-ups but cover you for all diseases. One can opt for such a plan to get a hassle-free and quicker policy.
- Settlement: The claim and settlement process is quick and hassle-free, and so no hardships are faced on that count.
- Health check-ups: Health check-ups is one of the benefits provided by almost all insurance companies. In senior citizen plans, health check-ups are provided annually.
Points to keep in mind while choosing the best senior citizen plans for your parents:
- Age of entry
Purchasing a senior citizen plan at the earliest is advisable. Age 50 to 69 years is the most preferred bracket for a senior citizen insurance policy. After 69 years of age, getting a good coverage plan is very difficult.
- Waiting period
While purchasing a senior citizen insurance policy, a certain waiting period needs to be served. One shall look-out for the term that your parents will stay uncovered. In the case of pre-existing diseases, one shall look-out for lower waiting periods to enjoy coverage sooner.
- Pre-existing coverage
If your parents have any pre-existing diseases, you shall look for plans that cover the same. For the cover of those conditions, there is a possibility that insurance companies might charge a higher price, and you can check the fine print for the same.
- Cap or sub-limit
One shall read all the terms and conditions before signing up for a particular plan. Many insurance companies put a cap or bar on the amount. The company will not incur any extra amount for that particular disease. For example, Z has a policy of Rs.10 lakhs, the policyholder gets admitted to the hospital due to a heart attack and a few related complications. The hospitalization expense rounds off at Rs.4 lakhs but the insurance company has clearly stated that for heart attack or heart disease, the maximum funds made available would only be Rs.3 lakhs. In this case, the additional Rs.1 lakh will be spent by Z from his pocket.
- Claim procedure
The claim process needs to be easy, quick, and without any complications. As this will help for claiming in emergencies. In case of a pre-decided hospitalization, an authorization form needs to submit 3-4 days in advance. And in case of emergency hospitalization, the insurance company needs to be informed within 24 hours.
Some policies stop the renewability of your plan after a certain age. Lifetime renewability is one of the main factors that need to be included in your parents’ plan. It is an important aspect.
- Medical history
Before purchasing such a plan, you shall keep in mind the medical history of your parents’ family as some of the illnesses can be hereditary. Example- If Z’s dad expired due to a stroke, and so did his grandfather. Then it is very much possible that Z may also suffer from a stroke, and so, a plan shall be taken that covers such conditions or possibilities.
Today, in the market, there are many insurance providers, and so, you shall go through necessary pointers such as premium payable, coverage receivable, benefits, check-ups, and more. Before choosing the best plan, options shall be taken into consideration.
- Network of Hospitals
The location of your parents’ residence and hospitals around it needs to be kept in mind. The network of hospitals in your insurance plan should be evaluated and taken into consideration. In times of emergency, it is best the nearest hospital is chosen for admission.
Many insurance companies provide the facility of co-payment, this means the maximum premium is paid by the insured, and the insurance company pays a small portion. The co-payment clause is a significant benefit and should be availed. The bracket of co-payment is around 10-30%.
FAQs: Best Senior Citizens' Health Insurance Plans
What does my policy cover? What are the Inclusions of senior citizen insurance plans?
From the age of 60 to 80 years, a senior citizen can purchase a cover for them. If one has the policy of lifetime renewability, then stretching of the plan is possible. Senior citizen policies cover expenses such as –
· In-patient hospitalization
· Pre- and post-hospitalization
· Ambulance charges
· Annual check-ups
· Day-care treatment
And many more.
Can I cover my parents in family insurance?
No, a senior citizen insurance plan is whole new insurance in itself. Family insurance does not cover parents or senior citizen health insurance. Two adults and two children are covered under family insurance. The coverage in family health insurance covers all the participants together. In senior citizen plans, only your parents are covered.
Does medical insurance for parents give tax benefit?
Yes, medical insurance for parents gives us distinct tax benefits. Under Section 80D of the Income Tax Act, senior citizens can enjoy the exemption of up to Rs.50,000. This benefit is available to the son or daughter who takes this policy on behalf of their parents.