Why Should I Buy a Separate Health Insurance for Parents?

The world is facing a difficult situation, with the pandemic. We always understood the value of life, but today we understand the extent to which uncertainties can distress our well-being physically and financially. Thus, health Insurance Plan becomes a vital part of your financial planning and to ensure that you meet your medical expenses without affecting your financial security at any point in time.

You must get your family insured because there is no definite age to get diseased. Covering your spouse, children and parents are certainly important. Do we need a single plan covering the entire family or a separate Health Insurance Plan for our parents? A separate plan is certainly, the best. Let us try to understand the scenario in a little detail.

Why is a separate Health Insurance Plan better for Parents?

Here are a few reasons that suggest the importance of a separate Health Insurance Plan.

• Monetary benefits – When you go for a Health Insurance Policy, the Insurance Company will suggest policies and premium rates based on the risks that they need to cover. At a young age, when you go for purchasing a plan, the risks are always low, which lead to a lower premium. On the other hand, your parents, at their age, are more susceptible to health complications. The risk is higher, so the premium is higher. If you opt for a family policy, the insurer will consider the highest risk factor of the eldest person and fix the premium rates. So, your annual premium will increase! Therefore, it is better to purchase a separate Health Insurance Plan for your parents.
• Maximum total payout – When your family is covered in full coverage health insurance plans, the sum assured is for all family members. However, the proportion of money required to handle health complications with parents is generally higher. So, if one of your parents and your spouse get ill at the same time, the total sum assured may not be sufficient to manage your parents' medical expenses. Hence, it is always advised to go for a separate plan for your parents.
• Income Tax deduction – There are also tax benefits associated with getting a separate Health Insurance Policy for your parents. Under Section 80D of the Income Tax Act, 1961, you can avail a separate tax deduction of ₹50,000 for your parents, who are senior citizens.
• No Claim Bonus – In a Health Insurance Policy, if you don’t make any claims in a year, you can avail the No Claim Bonus - It is a discount on the premium that needs to be paid in the following year. However, if you take a family insurance plan, the No Claim Bonus cannot be availed due to any pre-existing ailments in senior citizens. And this definitely is another reason to consider a separate plan for your parents.
• Exclusive Benefits – There are exclusive benefits for senior citizens in a separate health insurance plan for parents. The benefits depend on the type of plan chosen. There can be options to treat pre-existing ailments and a sufficient amount to meet any contingencies. The waiting period for the claim will be comparatively less in the case of a policy for senior citizens exclusively.

Considering all the features above, it is best advised that a separate Health Insurance Policy be purchased for parents. Before choosing the appropriate plan for your parents, you must consider some important factors such as your parents' age, pre-existing ailments, and the extent to which parents are prone to diseases.

It is also vital to check your financial stability and the amount you can afford to pay as a premium regularly. Advanced technical facilities have let customers refer, discuss, choose and avail different schemes online.

PNB MetLife offers a comprehensive health plus life combi plan, Mera Mediclaim plan.

Know more about term plan, term insurance and life insurance at PNB MetLife.

Whether you are trying to lose weight or making a shift towards a healthy life, understanding your BMI (Body Mass Index) is one of the first necessary steps you can make. The BMI calculator can indicate your body’s fat content based on your weight and height. Once you have a clear view of this, you can go through different health insurance plans on the PNB website and secure your future financially against the growing healthcare costs. 

References

https://timesofindia.indiatimes.com/spotlight/should-you-include-parents-under-family-health-insurance-or-opt-for-individual-health-covers/articleshow/80474297.cms
https://www.hdfcergo.com/health-insurance/parents-health-insurance
https://indianexpress.com/article/business/why-buy-individual-health-plans-for-parents-7219652/
https://www.etmoney.com/blog/4-reasons-why-you-should-buy-individual-health-insurance-over-group-health-insurance-plan/