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Is It Worth Buying a Family Health Insurance Policy

Team AckoFeb 20, 2025

Health insurance is of great importance in today’s world where medical inflation is constantly on the rise. The worth of a health insurance policy is based on several factors such as premium, coverage, exclusions, policyholder’s requirement, and insurer’s claim settlement ratio among other things.

Health insurance plans for family ensure your hard-earned savings stay secured in case of a medical emergency involving you or your family members. Under such a plan, the sum insured can be used by any of the insured family members when the need arises.

Overall, buying a family health insurance plan is a good prospect, especially if the family members are not covered under any other health plans. However, you will have to dig deep to understand whether family health insurance offers value for money as per your individual health requirements and of your family members before you make the purchase. Read ahead to know basic advantages of purchasing health insurance/Mediclaim policy for family.

Contents

Major Benefits of Health Insurance Plans For Family:
Buy Family Health Insurance Online:
Plan Your Future with Life Insurance

Major Benefits of Health Insurance Plans For Family:

In an ideal scenario, an individual policy for each member of the family offers extensive coverage. However, it might not be possible and practical for the public at large to purchase expensive individual policies to cover every family member. This is where health insurance plans for family come into the picture by offering value for money in a collective sense.

The following benefits are generic and you need to look at the details of your preferred health insurance/Mediclaim policy for family along with your family members’ lifestyle, diseases, etc. before selecting a suitable policy.

1) High Sum Insured:

Compared to an individual health insurance plan, a family health plan offers a higher sum insured (for every individual member of the family) at a lower premium for the extent of coverage offered.

2) Low Premium:

Simply put, if each member of the family were to purchase an individual plan for a sum insured to Rs.10 lakhs, everyone would have to pay the premium, making the total a higher number compared to the premium that needs to be paid for a family plan for the same Rs.10 lakh cover, which is shared by the insured members.

3) Easy to Manage:

A health insurance plan needs to be active to be able to provide coverage. And for that, you need to keep renewing it in a timely manner. Unlike individual policies, you do not have to keep track of individual expiry dates and make multiple payments if you are the person responsible for managing the health insurance needs of your family. Instead, you can renew the family health plan in one go as it is a single policy that covers multiple family members.

Besides, knowing that your family has a basic coverage in place can help you to purchase specific policies such as a Critical Illness Policy or a Personal Accident Policy as well for extensive coverage.

4) Additions:

There is scope for adding in-laws and children as well in your existing family cover. Therefore, such a policy can also seem beneficial if you are planning to get married/having kids in the future and want to insure your expanding family.

Also, read: Things to Know While Buying Health Insurance for Your Children

5) Tax Benefit:

The premium paid for a family health insurance has tax benefits associated with it as per section 80D deductions of the Income Tax Act. This is a dedicated section designed to help people save tax while they insure themselves and their family members.

Buy Family Health Insurance Online:

Just as you can purchase an individual plan from your smartphone, you can also purchase a family health plan online. Make sure to read the fine print before purchasing a family plan. Go through it to check the waiting period, sub-limits (if any), and the exact coverage. Do check the Policy Wordings for the precise terms and conditions of the plan if you are interested in going in-depth regarding the policy’s inclusions and exclusions. Make an informed decision and stay insured.

Plan Your Future with Life Insurance

Just as health insurance is essential for safeguarding the well-being of your family by covering unforeseen medical costs, life insurance protects their long-term finances in emergencies.

Life insurance is a vital step in ensuring your family’s financial stability. Plans like term insurance are excellent choices if you are seeking cost-effective coverage. A 1 crore term insurance plan provides great financial stability at a low cost. If you’re considering purchasing a term plan, ensure to use a term life insurance premium calculator to make informed decisions. This tool allows you to find the right coverage and calculate premiums based on your budget and lifestyle, making the procedure simple and hassle-free.