In the present time and age of rapid medical inflation, buying health insurance is one of the best ways to secure quality healthcare for yourself and your family without straining your finances. However, when you set out to buy a Health policy, the first question that you are most likely to ask is – whether to buy individual health insurance or a health plan for your family?
Before you judge which one is better than the other, know the difference:
Difference Between Family and Individual Health Insurance
Individual health policy offers medical coverage to an individual, while a family health policy offers medical coverage to an entire family. Essentially, a family health insurance plan is an extended version of an individual plan as it covers an individual’s spouse, children and parents under a single plan. To help you gain a better understanding of the two, here’s a comparative analysis based on factors such as:-
The coverage of a family health policy is generally extended to the primary insured, spouse and two dependent children. However, some insurance providers also cover parents, siblings, parents-in-law and three or four children. On the other hand, an individual health insurance policy covers only an individual.
The sum insured is shared by the entire family under a family health insurance plan. The entire sum insured can be availed by any or all of the members when required. It is not restricted to one person as is the case with individual health plans. However, if you buy individual health plans for your family members, the sum insured for the other members remain intact when a claim is made by one member.
The premiums for a family health policy is determined on the basis of the age of the oldest family member to be insured. Hence, the premium for a health insurance policy can go up significantly if you have elderly members in the family. For that reason, family health plans are generally a more affordable option for younger families. However, in the case of individual plans, the amount of premium payable is dependent on the age and health of the insured individual.
So what’s the verdict? Both individual and family health plans have their advantages and disadvantages. Whatever you decide to choose, the premium should not be the only deciding factor. If you have young family members, its best to cover them under a family health plan. And cover the elder ones in your family under individual health insurance plans. That way, you can cover all the member of your family and secure adequate coverage for them at a reasonable cost. At Finserv MARKETS, we offer both individual and family health insurance plans with wide coverage to help you overcome medical exigencies without affecting your finances. To buy to know more about health insurance visit our platform today.
Also know about the impact of a pre existing disease on health insurance premium before you decide to purchase a policy.
Read our top blogs to know more about health insurance in India:
Finserv MARKETS, from the house of Bajaj Finserv, is an exclusive online supermarket for all your personal and financial needs. Loans, Insurance, Investment, and exclusive EMI store, all under one roof- anytime, anywhere!