A family-floater health insurance plan covers all family members under a single policy. Each member will get coverage for major expense heads like diagnostic, hospitalization, medicine, and pre-and post-hospitalization care as typically mentioned in the plan. One key advantage of a family floater plan is that it eliminates the need to buy separate policies for each individual; thus, managing and sustaining the policy over the long term may be easy. A family floater plan could be more affordable than individual policies, even though they may have the same coverage and benefits. In individual policies, the premium and coverage differ according to age and health. Should you include Old Parents In A Family Floater Plan?

Let’s understand it in depth.

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Let’s understand the pros and cons of both plans:

Family Floater Plan

You can include your old parents, spouse, and children in a family floater plan. These plans may also allow existing diseases like diabetes, asthma, arthritis, etc., subject to certain conditions. One of the biggest advantages of a family floater policy is that it removes the need to manage multiple policies for each member, providing policyholders convenience.

On the downside, a family floater plan may not adequately cover all the family members if one member frequently falls sick. For instance, if a senior citizen visits the doctor, is admitted to a hospital, requires diagnostic tests at close intervals, and avails of insurance money, other members may be left with limited insurance coverage during an emergency. It is not uncommon for senior citizens to undergo hip or knee surgery and even major surgeries like organ transplants. In that case, the insurance amount could be quickly exhausted.

Additionally, you may have to do adequate research and compare insurers’ plans before buying a family floater plan. Additionally, you may have to assess the needs of each person in the family to determine the proper coverage, for example, possible accidents, hospitalization, medication, check-ups, maternity, critical illnesses, etc. This process will require you to consider hypothetical circumstances or future events for your spouse, children, and parents to select the right coverage.

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Points to consider before buying an individual health plan for senior citizens:

Individual Health Plan

Like a family floater plan, individual plans also have pros and cons. For instance, a separate policy for seniors may offer better coverage and care as it can be customized accordingly.

However, you may have to pay a higher premium if you buy an individual policy for senior citizens because insurers consider higher age to have greater health risks. Besides, they may have existing diseases or be prone to age-related illnesses, and insurers may put certain conditions for coverage. Hence, individual policies can be more expensive than a family floater plan.

Also, frequent health checkups affect the policyholder’s no-claim bonus benefits. Senior citizens require regular health checkups. These tests cost money. So, if they make an insurance claim, they may lose out on this benefit of the policy. Likewise, if a senior member in a family floater policy requires frequent hospital visits, it could affect no claim bonus.

Finally, both individual and family-floater plans have advantages and disadvantages. However, before buying a policy, consider your financial needs, the health of the family members, and, more importantly, the requirements of the senior members to pick the one that suits you best.