Things we do for our children. This single thought is enough to send parents on an emotional rollercoaster. People want nothing but the best for their children and financial planning for a better future is a prominent aspect of it.
When it comes to safeguarding the future of their wards, people tend to think of an education plan, creating a savings fund, etc., but medical insurance plans unfortunately don’t form a major chunk of it. Medical insurance plans act as a financial cushion in case of medical issues faced by children. Comprehensive medical insurance plans help you to minimize financial losses and safeguard your savings.
5 Important Things while Buying Health Insurance for Children
1 – Early Age
When it comes to health insurance, start early. That’s the golden rule. You can insure a new-born baby as well as a young adult. All you have to do is choose the right kind of plan.
2 – Family Health Insurance
You can include your children in your family health insurance policy if they are under the age of 21/25 (as per company policy). The benefit here is that you do not need to spend money (premium) on every family member’s health insurance policy individually. All family members (immediate family) can be covered under one policy.
Having said that, such policies are not comprehensive. However, they can act as a supporting policy along with some other plan, such as a Critical Illness Plan.
3 – Individual Plans
As children mature, it is best-suited to go for an individual health insurance plan for them. Such a plan offers extensive coverage but at a higher premium. People in their twenties are generally career oriented and might not find time or inclination to go for health insurance. Thus, you as a parent can take the initiative and guide them in purchasing the right plan. Do not unnecessarily delay purchasing a plan. Higher the age, higher the premium.
4 – Critical Illness Plan
If you are worried that your child is vulnerable to a critical illness, you can opt for a dedicated critical illness health insurance plan. They offer a fixed payout in case of illness detection (as per the terms and conditions). This policy can be purchased for a child above five years of age.
5 – Employee Group Insurance
If you are a salaried employee, chances are you might be insured under a group health insurance policy offered by your employer. Most insurers provide the option of covering your immediate family, including children, in your plan. However, this plan will cease to exist if and when you leave the company. Thus, it is not safe to rely solely on such a plan.
You should focus on creating a balanced health insurance portfolio for your children. Decide if you need your children to be covered in a family floater plan if they are already covered in your employee group health insurance policy. Assess your child’s lifestyle and think if you want to go for a critical illness cover. If your child has reached maturity, then an individual plan must be purchased at the earliest. Some of these plans can be overlapped to ensure a balanced portfolio and best health insurance coverage at an affordable rate.
Online Health Insurance
We live in a digital age where things can be purchased in minutes if not in seconds. This holds true for health insurance as well. Online health insurance is easy and convenient. Information is conveyed in a simplistic way. Unlike the offline methods, the online process does not involve paperwork and is not driven by agents. You can read, understand, and make an informed choice when it comes to purchasing a health insurance policy for your children.
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