In these times of uncertainty, we are always worried about the future. The well-being of our loved ones is something that bothers us all the time because we want to see them happy and in good health. But life is unpredictable and health is fragile.
Since these factors are beyond our control, it is the best solution that we have something within our control that we know to shield us during a time of crisis like health insurance. Having an insurance plan in place provides great peace of mind to you directly, especially if you are the breadwinner of the family and indirectly to your near and dear ones as well.
If you are at peace and happy, this will reflect in your relationship with your family members. The inexperienced are often in two minds; whether to go for health insurance plans for family or an individual health plan. The answer is simple and we will explore it in this article for your ease of decision-making. Let’s read on.
Why Health Insurance?
- Help you pay for hospitalisation bills, meet expenses for any kind of treatment, and illness contraction.
- In the event of an untimely passing away of the sole earner of the family, the financial loss can also be covered with the help of health insurance plans for the family.
- A health insurance plan helps you to maintain your quality of life even in the time of financial crisis because it works like a safety net.
Which is better? Individual health plan or family health plan?
Both of these plans are good in their own ways as they each have their merits as well as a few demerits. The decision should ideally be taken based on your needs. Let us take a look at both these plans separately.
Individual Health Plan
This type of health insurance policy secures the amount for only one family member. Although this is customisable, it is dedicated to one person only. Additionally, when a person invests in such health insurance, he or she has to pay a lower premium.
So, to summarise some pointers of an individual health plan:
- Covers only one share with no scope of sharing. During treatment, the total insured sum goes to that assigned person.
- Usually, Rs. 4 lakh is designated to the policyholder. However, this can vary from person to person.
- An individual health insurance plan offers more scope for customisation and can be altered to fit the requirements of the policyholder.
- Individual health insurance is more effective for senior citizens/parents and for those individuals fighting illnesses that are of critical nature.
- The plan to some people can come across as not being a very viable option in terms of its cost
Family Health Insurance Plan
A health insurance plan for the family as the name suggests is a more comprehensive policy that brings under its umbrella all the family members. This is an ideal plan for those people who already have a family. A health insurance plans for the family collectively secures the health of your family.
Some quick points about this kind of policy are as follows:
- The policy comes with a capped amount that has to be shared amongst everyone. Once one member utilises this maximum amount, it cannot be used anymore.
- This is a cost-effective option as the plan is very comprehensive and the single-pay premium option can prove to be a bonus point for people with financial constraints.
- If a family member ends up depleting the amount under the health insurance plan for the family then other family members will find themselves without coverage during a medical and financial crisis.
Check-list on How to Choose?
Factors you need to keep in mind at the time of decision and selection.
- Marital Status: If you are not married, undoubtedly, an individual health insurance plan is a better option for you. However, couples with no kids or senior parents to look after can also go for individual plans since they might already be covered under their respective corporate health benefits. A health insurance plan for family is without a doubt the best policy if you have dependents.
- Age: In the case of a health insurance plan for family, the maximum amount capped is determined by the age of the most senior family member. If this member depletes the capital then other family members will not be able to use it. Individual health insurance provides the scope of customisation in terms of the capped amount. There is greater flexibility with the latter.
- Current Needs: If you are unmarried, there is no point in going for health insurance plans for family. Also, you must think about the overall health condition of your family, the lifestyle and whether there is any ongoing medical condition.
After going through this article, it is clear that the choice between an individual health insurance and health insurance plan for family is not difficult and can be easily made based on the factors mentioned above. Evaluate your current situation and get the best insurance plan for yourself or your loved one today!