You may get enticed by offers made your existing health insurer that you can make your parents a part of the existing family floater plan at a discounted price or you can always buy family floater plan with your parents being included into it so that you don’t have to buy a separate plan. Though this offer might look very attractive but don’t make a mistake by doing that.
We all understand that health is actual wealth and a buying the right health insurance policy is the first step towards protecting it. Things have to be planned in a proper manner to get right benefits underlying a policy and it is helpful when you actually need it. Hasty decision while buying a health plan can be sometime be very dangerous.
One of the foremost reason why including your parents in your family plan is a big mistake is because health needs are different at different stages of life and your health insurance company calculates the premium based upon the risk associated with insuring a family and the age of the eldest member defines everything. So in case if you have including your elderly parents as a part of the family floater plan the cost of insuring the family drastically increases and if there is a pre-existing health conditions with your parents, it puts an extra load on the premium even though of the members of your family are healthy.
Another important factor is the effect the same will have on NCB benefits of your policy. In any case if you have claim free years you can accumulate the benefits as NCB or non claim bonus and which you can utilize at the time of policy renewal by availing the same as discount. But once you get your parents includes the NCB value depletes because at an older age there are higher chances of raising a claim. You should always prefer to have separate policy for your parents because that ensures NCB protection on your family plan under which you, your spouse and your kids are included.
Third most important factor that need to be considered is that since in any floater plan the total cover can be used for the benefit of any member of the family, your parents making regular claims because of their health condition can eat up the total sum assured during any Health insurance policy term and the same becomes ineffective for the rest of the members.
Since your parents always need an extra support for their health care and they might be making a constant claim, you should always have a separate policy for them. Though a separate plan and extra sum assured might look like an extra cost it always helps because it gives an extra protection to them. Other than you can always claim for extra tax benefits under it under Section 80D and you can increase your tax benefit limit from Rs.25000 to Rs.50000 which is a huge jump.