How To Choose the Right Health Insurance Plan for You and Your Family?

A medical emergency can happen at any time and to anyone.

- By: Sanjeev Puri

Be prepared to deal with it financially; else, it might be disastrous for your savings. Medical costs in private healthcare institutions, where you are most likely to end up, are exorbitant and rapidly increasing. Healthcare inflation is expected to be more than 17%, far higher than overall inflation.

It is becoming increasingly necessary to get a health plan for oneself and perhaps all family members. And the cost of such protection is significantly less than the benefits received. For example, a 30-year-old can buy a Rs. 5 lakh health insurance policy for an annual payment of approximately Rs 5,500. One does not have to have health insurance to save taxes, but premiums paid do qualify for a tax benefit under Section 80D.

Premiums paid for any health-related plans are deductible under Section 80D. The premium can be for a plan for you or your spouse, children and even parents. The maximum deduction for self, spouse and children is Rs 25,000 a year and an additional deduction of up to Rs 25,000 for parents. A higher amount of Rs 50,000 is permitted for senior citizens aged 60 years or more at any time during the financial year in which the premium was paid.

Now, the question is, which health plan is best for me? Remember that there is no such thing as the best plan, and the lowest cost does not always equate to the greatest health plan. Choose the ones that have the most features, have fewer exclusions, and are reasonably priced. Let’s see how the health plans are structured, what are the similarities, how they differ and finally, what important things to consider while choosing.

HEALTH PLAN OPTIONS