10 key factors to consider while buying a Health Insurance Policy for parents

Health insurance is beneficial irrespective of the age group. However, the need for it can be more for the elderly. This is because the human body becomes susceptible to several health-related challenges as it ages. The higher the age, the higher the chances of getting affected by diseases and getting hospitalised, leading to treatment-related medical expenses. You can ensure financial security by insuring your elderly parents with a comprehensive policy. Read ahead to know more about buying a health insurance policy for your parents.

Things to consider before buying a health insurance plan for parents

The following list will take you through various factors you should consider while buying a health insurance policy for your parents.

1. The reputation of the insurance company

The services of an insurance company must be prompt when it comes to health insurance for parents. A policyholder may not be present on the spot to complete the claim process for his/her parents, and this is where the reputation and promptness of the insurer matters.

2. Coverage of the insurance policy

Health insurance plans for parents must be holistic as inadequate coverage may lead to additional expenses. It should offer basic features like less waiting period on pre-existing diseases, coverage for mental illness, coverage for age-related conditions, preventive healthcare benefits, etc.

3. Location of network hospitals

One can avail of a cashless facility from a network hospital. Thus, it is necessary that you know the exact location of your insurer’s network hospital. This way, the best treatment can be received at a low cost. Plus, cashless claims allows you to experience a convenient and quick claim settlement process.

4. Cost of the insurance policy

Usually, the cost of health insurance increases with age. Since parents' age can be on the higher side, look for an insurance company that provides feature-rich health plans at a lower cost.

5. Exclusions

You need to bear the medical expenses not covered under Parents Health Insurance. Thus, it becomes crucial to understand the exact exclusions of the health plan. Always go through the policy document thoroughly.

6. Additional coverage benefits

Some health insurance plans can be customised with more coverage. Some examples of health insurance add-ons are Room Rent Waiver, Critical Illness Insurance, Outpatient Department (OPD) Cover, Hospital Cash Cover, or Personal Accident add-on.

7. Claim process

The claim process of an insurance company should be simple and hassle-free. Else, you will spend more time on claims than on focusing on your parents’ health. Choose an insurer with a straightforward, digital and transparent claim process.

8. Value-added services

Health insurance value-added services have gained prominence in recent times. Benefits like teleconsultations, free health check-up, health monitoring services, etc, can help you to keep your parents in good health.

9. Tax benefits

The premium paid to buy health insurance for parents is tax deductible as per the provisions of the Income Tax Act.

10. Renewability

Insurers may cap the entry age of the insured to a certain limit. If you choose an insurance company that has low entry age criteria, then you may not be allowed to buy a policy for your parents. Be sure to check the renewability option before buying the policy.

Frequently Asked Questions (FAQs)

Listed below are common queries about buying health insurance for parents.

Can I buy an Individual Health Insurance Policy for my parents on their behalf?

Yes, you can purchase an individual plan for your parents by paying the premium on their behalf.

Is it possible to include parents in a Family Floater Plan?

Yes, it is possible to include parents in a Family Floater Health Insurance Plan, provided they meet the policy’s eligibility criteria, if any.

I want to include my parents in my company-offered insurance policy. Can it be done?

Inclusions of parents in a company-offered cover is a possibility. However, it will depend upon the type of Corporate Health Plan chosen by your employer. For example, ACKO’s Group Medical Cover allows the inclusion of parents in the cover.