All you need to know about Family Floater Insurance and its benefits

Family evokes a special meaning for most of us. We work hard, day in and out just to guarantee our loved ones' joy and happiness. Right from food and clothes to travel and education, we want them to get nothing but the best.

The same goes for their health as well. And one of the best ways to secure their health is through insurance. Buying one of the many health insurance plans available in the market for each family member is a good step, a wiser step is to go for a family floater health insurance plan.

A family floater plan as the name suggests is tailor-made for families. In principle, its working is similar to a regular individual health plan. You choose one plan, set the sum insured, and pay the premium amount. The only difference is that this plan covers your immediate family instead of just you.

It is a medical insurance that offers a lot of benefits to you in terms of convenience, cost, savings, and more.

1. It's Affordable: A family floater insurance plan is cheaper compared to an individual health plan. A floater plan with an INR 6 lakh sum insured will fetch a lower premium than paying four premiums of INR 2lakh individual health plans for a family of 4.
2. Higher Sum Insured: A health scare or sudden hospitalization does not come with a definite health bill. There is a possibility that the mediclaim policies you may own fall short. A family floater has an advantage in such situations for their sum insured is generally higher than individual policies.
3. Tax benefits: This health plan offers tax benefits too. The premium paid towards this insurance plan qualifies for deductions under Section 80D of the Income Tax Act. Apart from the health security, this is another benefit health insurance plans offer.
4. Possible Savings: All those who own a health plan set aside a certain sum each year to pay the premium. With a family floater, savings are possible because they cost less compared to a standard health plan and tax benefits are on offer as well. The savings can be utilized for the family's needs, to pay off debts, or meet unforeseen expenditures.
5. It's Convenient: One single policy which covers all your immediate family members makes for a lot of convenience compared to separate individual policies. Be it at the time of purchase or renewal; documents are submitted and payment is made once.

Even the insurance company does not require to keep multiple records of all family members because they are stored under one single policy. And it makes for easy retrieval and endorsements.

If you are looking for fresh health insurance plans or are a first-time buyer, a family floater plan is a recommended choice for you and your family.