I am planning to buy health insurance for my parents. Both are over 60 years of age. I have seen health insurance plans focused on diabetes/heart related conditions. How are these plans different from normal plans? Are they costlier than the normal plan? My father has diabetes but my mother doesn’t have any problem now.
Pole
The extreme need of health insurance for the elderly cannot be underestimated. It is a responsible step you are planning, so that you can protect your parents from the unexpected blow of medical expenses, especially in case of a condition like diabetes. It is extremely important to choose a plan that lays down a strong safety net for them, and gives them access to a wide range of medical services.
Coming to your question, your father has diabetes, which comes under the category of pre-existing disease. If a person has a particular condition like diabetes or high blood pressure for 48 months or more, it is classified as a PED (pre-existing disease).
Earlier, health insurance plans for senior citizens came with certain limitations, such as waiting periods or capping on coverage. However, there are now more comprehensive plans that provide adequate coverage for pre-existing diseases from day one. The number of diabetic patients in India is very high and at present there are more than 100 million patients in the country. Now more than ever it is important to provide them with adequate coverage that also takes into account their condition and associated expenses. You should choose a plan for your father that covers pre-existing diseases from day one.
Even though your mother is not suffering from any such condition, you can opt for a senior citizen plan for her to protect her from any medical expenses in the future as well. These new-age plans also cover OPD expenses, day-care treatment, pre and post-hospitalisation expenses and ambulance services as riders. Some senior citizen policies also offer the valuable feature of cumulative bonus, wherein a percentage of the sum assured is added to the coverage every year.
Also, some plans do not allow any deduction in bonus on account of claim. This means that even if the policyholder makes a claim, it will not affect their bonus, which will continue to be added to their coverage every policy year as per the terms and conditions. The plans now also offer higher flexibility of choice to senior citizens. They can choose the room type they want, they can also increase or decrease their co-pay or other voluntary deductible as per their premium paying capacity.
However, it is advised to opt for a higher sum assured of at least ₹1 crore, especially in a metro city, while selecting the plan. Fortunately, these plans do not put any restrictions on the coverage and the elderly can choose a plan with a higher sum assured to cover themselves. This will protect them from expenses incurred due to complications that may arise due to their condition. Just make sure that you disclose all the details to the insurer before buying the policy else the claim may be rejected later on the grounds of non-disclosure.
Also, before taking any policy for your parents, always compare the benefits and premiums and review the inclusions and exclusions of different policy providers online. This will come in handy while filing a claim.
The author is Joint Group CEO, PB Fintech