When Should You Consider A Family Floater Health Cover Over An Individual Health Plan?

Amrina Alshaikh
May 23, 2020   •  19 views

What could be more important to anyone other than the health and happiness of their families? With a family floater health insurance plan, ensure the well-being of your family and give yourself the gift of financial security in case of any medical emergencies in the future.

The COVID-19 pandemic has at least made us realize that when it comes to the health of our families, we truly don’t want to make any concessions. If you haven’t bought a comprehensive health plan for yourself and your family yet from one of the best health insurance company in India, then it should be on the top of your to-do list.

If your family members don’t have a prior medical history, then your insurance company might be able to include more members in your plan. Usually, when you decide to add more members, the single annual premium you are asked to pay might be increased slightly.

Benefits of buying your family a Mediclaim policy and a broad-coverage health plan

·         Coverage provided to all your family members under one plan – you can include your parents and in-laws in your plan if you so wish

·         Some schemes might come with discounts or savings plans

·         It’s easy to add or remove members from your existing plan, without losing the cover

·         Added benefits are provided for a new-born baby and during maternity

·         And of course, these policies give you the option for tax saving under section 80D

There are a few drawbacks to a family floater plan though

If you wish to pick the perfect plan out of the many health insurance plans for the family available online, you should read the fine print carefully. Scan the different clauses in the offered document and then decide whether you wish to invest your money in that plan.

You must pay some extra amount plus your premium for adding members to the existing policy, and the coverage might be offered only until the oldest member of the family is below the maximum age stipulated on the document.

Some plans might not offer any coverage to the pre-existing illnesses of your parents. Moreover, dependent children are generally covered up to a certain age only.

Should you choose a family health plan over an individual plan?

This might be difficult to discern unless you go through all your available options.

Certain insurers might choose not to offer any coverage to a member of your family based on their previous ailments, under your family floater plan. The additional premium you must pay to add members to your plan could get more costly, even if the coverage is extended to such a family member.

Practically, if you discover that individual plans are more expensive than getting a group cover upon comparison, but at the same time, you’re being offered similar benefits, then you should go for the family cover.

Some frequently asked questions revolving around family floater plans:

Do you need to get a standalone policy even if you are covered under a health insurance plan from your employer?

It is wise to get an individual family plan, even if your family is covered by your employer’s corporate policy. It is only going to function for as long as you’re working for that employer and won’t be useful at all, once you retire or change jobs. Coverage can also stop unexpectedly if your corporate policies change.

Can you add family members to an existing policy?

Yes, you can, but this needs to be specified at the time of renewal. One exception to this rule is the addition of a new-born to the family plan, which can also be done in the middle of your policy term.

Choosing one plan out of the many options available out there could prove to be a daunting task, especially when it comes to the safety of your family.

Make sure you read the clauses given in the documentation of each policy judiciously, compare all plans available to you, and then make a judgment based on the needs of your family.