Life after retirement needs to be as hassle-free as possible. After all, it is a phase when you ought to be chasing lifelong dreams and passions — not unexpected troubles and expenses. That’s why having a good senior citizen health insurance plan is imperative.
This plan safeguards your savings and ensures access to quality medical care during emergencies. It’s a safety net that keeps you independent and equips you for all medical expenses without breaking the bank. Even if you have regular health insurance, a senior citizen plan protects you from rising healthcare costs, which outpace general inflation in India.
AN INTRODUCTION TO HEALTH INSURANCE FOR ELDERS
Imagine this; you are about to go on a trip to your dream destination. But suddenly an unforeseen medical expense derails all your plans. Now you have to cancel your trip and use its funds instead of paying the hospital. Not an ideal scenario!
However, the good news is that such a situation can be easily dodged with the help of senior citizen health insurance.
Senior citizen health insurance is a policy plan specifically designed for individuals aged above 60 years. It covers medical expenses such as preventive health checkups, age-related illnesses, pre-existing conditions, and critical treatments.
Regardless of the provider, here are some common features of such plans:
- Annual health check-up
- Cashless treatment at network hospitals
- Pre & post hospitalization expenses
- Coverage of pre-existing conditions, after a set waiting period
- At-home (Domiciliary) treatment
WHY CHOOSE SENIOR HEALTH PLAN WHEN YOU HAVE REGULAR HEALTH INSURANCE?
While a regular plan keeps you insured from a broader range of ailments, it’s a senior plan that gives you the confidence to give your health the priority and attention it deserves during your retirement years.
Here are a few points in which it differentiates from the plan you already have:
- Age-specific coverage: Senior plans cover the illnesses or conditions that are often diagnosed in elders. Normal plans do not.
- Pre-existing diseases: Normal healthcare plans do not cover a pre-existing condition or cover it only at a minimal level. Something that makes a senior plan much more valuable.
- Better financial coverage: As opposed to a regular plan, senior plans give a higher sum insured for age-related treatments.
- Shorter waiting period: Regular insurance plans have a higher waiting period for pre-existing conditions as compared to insurance plans for elders.
PERKS OF A SENIOR CITIZEN HEALTH INSURANCE
When you buy a health insurance plan tailor-made to your specifications, it automatically provides you with ease of mind. Along with this obvious perk, there are more benefits of buying senior citizen health insurance:
- Financial independence: You need not rely on anyone for financial help for any kind of medical expense. As an insured elder, you become in control of your health-related and financial decisions.
- Financial protection: Prolonged treatments can no longer deplete your savings or retirement fund, and you can put them aside for other expenses.
- Cashless hospitalization: You or your family would not be required to arrange large amounts of money at the hospital’s notice. Equipped with senior citizen health insurance, you can get admitted at any of the network hospitals for any treatment and get the insurance provider to directly pay for your medical expenses.
- No claim bonus: If you don’t make any claims in a policy year, you get discounts on renewal or an increased coverage amount. This reward grows each year.
- Lifetime renewal: The majority of the insurance plans for elders come with a lifetime renewal option. Thus, giving you financial security throughout your life.
- Tax deduction: Under Section 80D, the premium paid for a senior health plan qualifies as a tax deduction. Thus, it offers a good tax-saving option.
It is worth mentioning that, as of September 2024, the Indian government offers ₹5 lakh health insurance coverage to all senior citizens aged above 70 through its Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY).
Seniors who qualify can head to pmjay.gov.in and choose the ‘PMJAY for 70+’ option to register. Alternatively, they can download the “Ayushman App” from the Google Play Store to complete self-registration.
However, to avail all of the above-given benefits and more, it is advisable to take an additional senior health plan above your AB-PMJAY insurance.
THINGS TO KEEP IN MIND WHILE BUYING SENIOR INSURANCE PLAN
- Coverage & sub-limits: Compare multiple plans to get an idea about their comprehensive coverage. Check policy clauses for higher sub-limits on hospital room/bed rent, treatment cost etc. See if there is any way to enhance the plan you already prefer.
- Premium amount: Choose an affordable plan which allows you to pay the renewal fees every year without any issues. This way, the annual fees would not affect your other expenses.
- Co-payment percentage: Opt for a plan with no or low co-payment. This will help you save out-of-pocket expenses.
- Network hospitals & their accessibility: Check for the shortlisted insurance providers’ network hospital list under the cashless treatment option. See which ones are located near you, and whether or not they are easily reachable in the time of need.
- Waiting periods for specific diseases/treatments: Review the waiting periods for pre-existing conditions on your chosen plan. See how long you need to wait before accessing the treatments for these diseases.
Visit aggregator sites like PolicyBazaar & Ditto Insurance to check the details of insurance plans. If you leave your number there, the team will immediately call you up to help you through the process of buying the right senior insurance plan.
You can also buy it through a trusted agent.
Frequently Asked Questions (FAQs)
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I have savings for medical emergencies. Do I need a health insurance?
Any sort of prolonged treatment is expensive and might deplete your funds quickly. That’s why it is better to have comprehensive senior health insurance that covers pre & post hospitalization and surgeries on cashless treatment. This helps you keep your savings aside for better goals while being assured that you are fully covered.
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Can I buy a health plan at 55 without any medical tests?
Yes, many insurers offer plans that do not require prior medical tests, especially if you have no pre-existing conditions. However, their premiums are often higher or have limited coverage options. Best to compare their benefits and choose the one that suits your needs.
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My employer provides post-retirement benefits. Do I need separate health insurance?
Yes, it is advisable to have separate senior health insurance coverage. The employer-provided plans often have limited coverage or might end abruptly after retirement. Having separate insurance grants you both health-related and financial security.
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What type of health insurance is ideal for individuals aged 50 and above?
Ideal health insurance for individuals aged 50 and above should have shorter waiting periods for pre-existing conditions, hospitalization coverage and a lifetime renewability option. It should have a wide network of cashless hospitals and be the perfect balance of affordability and benefits.
