How to Ensure that Your Parents Are Insured Right

Owing to the increasing inflation in medical expenses, it has become necessary for individuals to purchase medical insurance at early age and if it is to do with their family, then purchasing the right family health plan become more urgent. If you are a salaried individual, then you usually have a great relief knowing that your health plan under employer’s group scheme would cover your family as well if any unexpected situation occurs. It has been estimated that healthcare inflation has been sky rocketing at 12-18% per year; thereby the family healthcare coverage offered under employer’s group scheme may not be sufficient. Moreover, some of the employers are withdrawing parental coverage. So, there is a growing realization that buying individual family medical insurance policy for entire family is necessary today.

Since it is clear now that buying individual health insurance for parents is necessary, you are required to do a bit of research work to ensure that your parents are insured right with the best product.

Senior Citizen Health Insurance

There are many senior citizen health insurance policies offered by different insurance players in India. If your parents are in the category of senior citizens, then purchasing such plans would be fruitful indeed. The primary benefit of senior citizen health insurance plan is that it comes with shortest possible waiting period of 1-2 years for all pre-existing diseases and illnesses which is very less compared to other regular medical insurance policies. There are in fact some senior citizen health plans available that come with less than 12 months waiting period for pre-existing diseases.

The only downside of senior citizen health plans is that it comes with a co-payment clause. This means that the policyholder need to pay certain amount of the medical bill at the time of making claim and the remaining will be paid off by the insurer.

Coverage from Employers

If you are a salaried individual, check with your employer’s group scheme policy to ensure if there is an option to find your parents insurance as a part of the group scheme with additional premiums. If it is available, then it is worth considering the employer’s group scheme plan for your parents. The plus point of employer group scheme plan is that it is much easier to secure a health insurance under corporate cover route and the insurers also agree t provide coverage under such scheme. Moreover, the settlement of claims is much faster in group schemes.

The downside of such plans is that the coverage is on higher side with lesser premiums at the beginning, but with the passing years the premiums tend to increase. Moreover, the coverage offered to you and your parents by the employers will cease immediately if you switch job or resign. In such situation, you are required to opt for same insurer’s retail policy for coverage.

Top-Up Policy for Parents

The full-fledged mediclaim for parents under employer’s group scheme may be preferable at times with additional premiums, but the covers offered may not fit your stipulated budget. So, in such situation may opt for top-up covers by paying additional premiums to protect your parents and enhance their coverage. This option may prove to be affordable compared to independent health coverage. If your parents are getting the coverage under the employer’s group health scheme, then it is worthwhile to purchase additional top-up cover so that it can take care of higher claims whenever required. There are few top-up policies offered that provide maximum coverage which is always higher compared to the senior citizen health insurance plans.