The health and well-being of your family is always a priority, and you take every possible effort to safeguard their health and happiness. Opting for family health insurance is an investment you should make for a secure future.
A family floater health insurance is a type of insurance policy that covers several family members under a single umbrella, ensuring that all family members get benefits from a common pool.
Sometimes, hospital bills and other medical expenses could be so high that it can considerably impact your savings. A family health cover that offers comprehensive health coverage will give you a financial safety cushion during medical emergencies. So, you will not have to spend large sums of money from your savings and avoid financial hardships.
Table of Content:
What is Family Floater Health Insurance?
Family floater health insurance is a health cover available to an entire family under a single policy instead of individual covers for each family member. Best family floater plans offer a high sum insured, at a single premium per year, which is available to all the members, and multiple claims can be made.
Key Features of Family Floater Health Insurance
The key features of best family floater health insurance are;
- The health plan covers several members of the same family.
- The main policyholder, considering factors like risk and location, can select a high or low coverage amount, based on which the premium amount is decided.
- The insured persons can avail of the cashless hospitalization facility at any network hospital.
- The policy includes a co-payment feature if the age of the eldest member is 61 years or above.
- There is a waiting period for treatment cover for pre-existing illnesses.
Individual vs Family Floater Health Insurance
Individual health insurance plans offer insurance coverage for a single person only, and the policy is bought in their name. On the other hand, family floater health insurance plans are comprehensive plans that offer health coverage to an entire family; wherein all the members share the premium cost and sum insured.
How Does Family Floater Health Insurance Works?
Let us suppose a family floater health insurance plan covers a family consisting of an individual, his spouse, and two dependent children. Firstly, the premium amount is decided based on the age of the eldest member.
Now, for instance, if the family floater plan offers a sum insured of Rs 5 lakh. If one member, falls ill and is hospitalized, they can avail cover for the medical expenses from the family floater health insurance plan. If hospitalization expenses came out to be Rs 2 lakh, then the remaining Rs 3 lakh is available for the rest of the family, and multiple claims can be made with that amount.
Benefits of Family Floater Health Insurance
- Affordable compared to individual health insurance plans
- Option to add new family members in the plan
- High sum insured available for the entire family
- Facility to get cashless hospitalization
- Increased sum insured upon policy renewal
- Maternity cover with a waiting period
Why should you opt for Family Floater Health Insurance?
Family Floater Health Insurance offers comprehensive health coverage for all the family members under a single policy. It is a better option for a family with kids. Family floater plans offer adequate cover at affordable cost and eliminates the hassle of multiple individual plans. Moreover, one can avail discount of 5% if family members are covered in the same policy on individual sum insured basis. It offers the following benefits.
- Pre-hospitalization Cover: It covers the pre-hospitalization charges of the procedures an insured undergoes before getting hospitalized, such as diagnostic tests and routine medication. It is available for a period of up to 30 days before your hospitalisation.
- In-Patient Hospitalisation Cover: The policy covers an extensive range of hospital expenses incurred by an insured entailing room charges, nursing expenses, ICU charges, surgeon's fees, doctor's fees, anesthesia, blood, oxygen, and operation theatre charges, etc.
- Ambulance Cover: The policy covers the costs that an insured incurs for availing a domestic road ambulance. One can also choose an air ambulance cover, which is an optional cover in the policy.
- Post-Hospitalisation Cover: The family health policy covers the expenses that the insured person incurs while recovering after discharge from the hospital. That includes doctor consultations, diagnostic tests, etc.
- Domiciliary Hospitalisation Cover: In case the insured person is not getting admitted to a hospital and instead opting for treatment at home, then the policy also offers domiciliary hospitalisation cover for a defined period.
- Annual Health Check-Up: Annual health check-up is a key benefit available for the insured members in family health insurance plans.
- Lifelong Renewability: It ensures your family members receive continued coverage under the policy throughout life, by opting for regular policy renewal.
Disadvantages of Family Floater Health Insurance Policy
There are numerous benefits of opting for a family floater health insurance policy, however, for some individuals like senior citizens, we recommend opting for individual senior citizen policy for parents. Here are some crucial points you must keep in mind.
- Including older family members in a family floater, the mediclaim policy can significantly increase the premium amount since it would be calculated based on the oldest member under the cover.
- The older members under the plan might exhaust the entire insured amount since they are more likely to fall ill, and there is a chance that there will be no sum remaining for the other members of the family.
- The policy can only be renewed until the oldest member falling under the policy reaches the maximum age for renewability for that particular policy. In such a scenario, the other members will have to take a brand new policy and will have to forego the benefits of the family floater health insurance policy.
Factors Affecting the Premium on a Family Floater Health Insurance Policy
The following factors affect the premium cost on a family floater health insurance policy:
- Age: Young policyholders are less likely to face health issues and have a much lower premiums as compared to their older counterparts.
- Body Mass Index: Body mass index, calculated using weight and height may affect the premium since it is an indicator of good health.
- Family Medical History: If there is a history of severe ailment in the family, it may lead to increased premium since the member is also likely to suffer from that ailment.
- Consumption of injurious substances: People who regularly consume alcohol and smoke are likely to pay a higher premium than those who don't partake in such activities.
Sum Insured: The premium depends on the coverage amount one has opted for. Premium will be higher if the sum insured chosen is higher.
Add-on cover: Policyholders have the benefit of optional covers to boost their coverage. For this, there will be an additional premium cost.
Discounts: Premium also depends on factors like discounts. Policyholders have the choice to get discount on the premium if they select a policy with longer tenure option say 2 or 3 years.
>> Check: Health insurance Plans for Family
Tips to Choose the Best Family Floater Online
Factors to consider when choosing a family floater health insurance policy:
- Opt for a policy with a shorter waiting period for pre-existing diseases
- Ensure the plan offers flexibility to increase the sum insured
- Select the policy with maximum renewal age of each
- Check the nearest network hospitals for a cashless treatment facility
- Look for a policy with minimum exclusions