As parents grow older, health worries seem to just pile up. More frequent doctor visits, endless medicines to keep track of, and the occasional unexpected hospitalisation – it all takes a financial toll. Even basic support, like having someone to care for them when we are occupied with work, comes at a significant cost these days. At the same time, incomes and savings tend to dwindle for most parents post-retirement.
As caring children, it is only natural for us to be anxious about how our ageing parents will handle the rising healthcare costs on their now shrunken budgets. An extensive health insurance policy could provide great relief by sharing the financial burden at this vulnerable juncture.
However, comprehensive plans also come with high premiums! Is it genuinely realistic to secure adequate health coverage for parents while keeping within the modest budgets of Indian middle-class families? This blog shares some practical, budget-friendly tips we’ve learned on how we can find quality and affordable health insurance for parents.
Understanding Your Parents’ Insurance Needs
Assessing your parents’ current health status and potential future requirements is a crucial first step to determining the right level of coverage. You will need to evaluate key aspects such as:
Required Medications
List down the medicines your parents take on a daily or periodic basis. These may range from vitamins and supplements to more intensive drugs required to manage chronic illnesses. Understanding medication needs will help choose plans that provide adequate coverage for associated costs.
Frequency of Doctor Visits & Medical Tests
Determine how often your parents must consult doctors to evaluate their health status or get health checks/lab tests done. If visits are frequent – weekly, fortnightly or monthly, choose policies with generous outpatient department (OPD) coverage. Likewise, for recurring diagnostics tests.
History of Hospitalisation
Have your parents undergone any major hospital stays in the last 2-3 years? What was the reason, diagnosis, and treatment expense incurred? Information on previous hospitalisations gives insight into likely requirements in the future. It also helps set room rent limits and coverage for pre/post-hospitalisation costs.
Potential Surgeries
Have doctors recommended any surgeries or procedures, e.g., knee/hip replacement or cataract removal? Make a note, as you can choose policies that offer coverage for specific procedures. Also, assess if any treatments can wait or need addressing urgently when buying insurance.
By assessing these parameters of your parent’s health status, you can determine whether a regular indemnity plan meets your needs or whether more advanced coverage, like critical illness plans, is required. This will ensure you invest in adequate and appropriate health insurance.
Research Health Insurance Options
With an idea of insurance needs, the next step is finding plans that match your budget. Good places to research are:
- Insurance company websites
- PolicyBazaar
- Bank websites (for co-branded policies)
- Independent agents and brokers
Compare features like policy terms, waiting periods, sub-limits, exclusions, cashless hospitals, claim settlement ratio, etc., before zeroing in on a suitable option. Preferred choices are policies with lifetime renewability and minimal exclusions.
Optimise Costs
The premium payable depends on the insured’s entry age and required coverage. Here are some tips to optimise costs:
- Enroll early before age-related loading sets in
- Opt for a base policy with limited features
- Take advantage of family floater plans
- Select optimal deductible and co-pay
- Pay premiums annually for discounts
- Check group insurance via alumni networks
Government Schemes
Central and state government schemes like Rashtriya Swasthya Bima Yojana, Ayushman Bharat, and Mukhyamantri Amrutam provide basic coverage, either free or at nominal premiums, for vulnerable sections. Check eligibility criteria and enrol parents if eligible.
Tax Benefits
The premium paid towards health insurance for parents qualifies for tax deductions under Section 80D, offering significant savings. So, don’t miss claiming this benefit at the time of tax filing.
Early Action Required
Delaying enrollment typically leads to higher loading and exclusions for pre-existing conditions. So, research and shortlist options like the Family Floater Plan well in advance rather than later during medical emergencies.
Conclusion
Adequate health insurance is invaluable for elder care needs. With prudent planning, cost optimisation, and tapping government schemes, securing budget-friendly coverage is within reach for Indian families. The key is being proactive when parents are still relatively healthy.