by Senior citizen health insurance plans are designed for individuals who have crossed 60 years of age. As seniors retire and enjoy well-deserved rest in their golden years, their health should also be taken care of. Regular health insurance plans may not be adequately equipped to handle the medical needs of senior citizens. Therefore, having a senior citizen health insurance plan becomes essential. You might be wondering, how exactly are senior citizen health plans different from regular health insuranceplans? Let’s explore that in this article.
- No claim limits
Firstly, there are no claim limits in senior citizen health insurance. As individuals age, their chances of getting afflicted with various health ailments increases. That means more claims on their health insurance plan. A regular health insurance plan may have a claim limit. This would not fare well with older people as they might have to make frequent claims during their policy term. To ensure that senior citizens do not have any hesitation in raising a claim whenever the need arises, insurers often do not have a claim limit on their senior citizen health insurance plans.
- Shorter waiting period
A senior citizen health insurance plan usually has a shorter waiting period. Some insurers have kept a waiting period of only 30 days, post which the policy becomes active and the policyholder gets covered. This is because insurers understand the urgency of getting quality medical care at a senior age. A longer waiting period, which is usually there for regular health insurance plans, would mean that aged policyholders have to wait longer to get covered. That would leave them without any medical coverage for that time. So, a shorter waiting period makes more sense.
- Higher tax benefits
According to the Income Tax Act, the premiums you pay towards your health insurance plans are eligible for tax deductions. The upper limits of the tax deductions are dependent on the insured’s age. If the insured is over 60 years of age, they are eligible for tax deductions up to ₹ 50,000. Individuals under 60 years of age can claim tax benefits up to ₹ 25,000. So, not only is the senior citizen’s health getting secured but they can also avail tax benefits and save up for their use.
- Higher premiums
Health insurance companies decide the premium amounts for the policyholders based on several factors, the primary one being age. A higher age implies a higher risk of getting hospitalized and getting diagnosed with health ailments. Since senior citizen plans only include people of higher age, the premiums for such plans are usually higher. However, we need to realize that paying these premiums is eventually worth it as the insurer provides coverage and saves you from the hassles of having to afford costly medical bills on your own.
- Different age limits
Regular health insurance plans can be purchased by individuals in the age range of 18-60 years. If an individual is already covered under a regular health plan, then they can continue that coverage even after they have crossed 60 years of age. However, they cannot purchase these plans afresh. Similarly, only individuals in the age-range of 60-80 years can be insured under a senior citizen health insurance plan. These age limits may differ slightly from insurer to insurer.
