This New Year, give your parents the gift they really need — a health cover

Prakash

We often tend to forget that when the year ends and when we welcome a New Year with open arms, our parents grow a year older too. Since it is the festive season, we would generally want to gift the most special and unique gift to our parents. How about being a caring son/daughter and gifting them a health insurance policy as a New Year gift?

Prohibitively expensive hospital bills and an almost total dependence on private hospitals for quality treatment in a country such as India make medical insurance for parents not just a luxury, but a necessity. A small surgery with a two-day hospitalisation in a private hospital could set one back by Rs75,000 in a tier-II city and anywhere between Rs1-1.5 lakh in a metro.

A medical insurance for senior citizens provides you with tax benefits besides delivering monetary help in case of unforeseen medical emergencies. A health insurance policy empowers a person to go for health check-ups, provides financial help during health and medical emergencies as well as long-term medical treatment.

If you work with an organisation that offers group health insurance which covers your parents, in most cases, this covers even pre-existing ailments and waives the waiting period. Most often, it does not require medical tests too. However, you cannot completely depend on such plans as they are linked to your employment and are severed on the day you leave, even if you have been paying the premium from your own salary.

It is better to opt for health insurance for your parents on your own. Though, such personal health insurance will have a waiting period for pre-existing ailments as well as mandatory waiting periods for specified illnesses, this is your own policy and is more beneficial in the long term. There are various options of senior citizen health insurance policies available for your parents, where they can be covered for their entire life. Remember, as your parents grow older, getting a health insurance becomes more and more difficult. Getting a policy, once your parents touch the age of 70, is quite impossible.

Another benefit of buying a policy for your parents is that in the 2015 Budget, the health insurance tax exemption was hiked to Rs25,000 under Section 80D of the Income Tax Act.

All policies have their plus and minus points. Before deciding to buy a policy, you should know what you want from your health insurance cover. The quantum of cover should be decided taking into consideration their pre-existing health ailments and the likelihood of hospitalisation due to lifestyle, diet and other factors. Secure the health of your parents. Don’t delay buying an insurance policy for them. You may be busy enjoying the life provided by your parents, it’s time to return the favour by securing their health. Do it now!

The author is ED, Star Health and Allied Insurance. The views expressed in this article are his own.