Health insurance is basically a financial protection given to an individual in case of medical treatment due to illness and accidents. With sky rocketing medical expenses even a minor treatment or an appointment with a doctor may burn a large hole in your pocket if you are not insured adequately to meet such unforeseen contingencies.
Benefits of Health Insurance
It is a must as it saves a lot of money with marginal premium required to be paid on an annual basis
It comes in handy to meet emergencies of critical illness or accident.
It has always been affordable and gives an individual assurance and freedom from insecurities of life.
It covers diseases, injuries, surgery or any Medicare that is needed by an individual or family.
It also includes hospitalization coverage if you are hospitalized for more than 24 hours.
Also pays you for your regular checkup and consultation fees.
Two types of medical insurance plans are there
Individual health insurance policies and Family Floater health insurance
Individual health insurance policy -
Provides protection to an individual in case of medical treatment in times of health problems.;
Family floater health insurance -
Provides protection to a family wherein a sponsor owns the policy and the people covered under it are called its members. One can protect your full family i.e. spouse, dependent children, parents etc.
One also gets tax benefits for premium paid towards health insurance.
Premiums paid up to Rs. 15,000 per annum under the health insurance plan for self, spouse, two dependent children are exempt from tax under section 80 D of the Income Tax Act.
You can also claim deduction up to Rs. 15,000 for premium paid towards dependant parents and in case your parents are senior citizen, you can claim a deduction of Rs. 20,000.
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