Top Reasons To Buy A Mediclaim Insurance Policy For Your Family In India

by SMCIB on Tuesday, 07 November 2023

Top Reasons To Buy A Mediclaim Insurance Policy For Your Family In India

The proverb “Prevention is better than cure”  works in many scenarios. For instance, when you ride your bike, you put your headgear on, follow all traffic rules, and stay within the speed limit to avoid any fatal accidents. You do this to make sure you’re being safe than sorry.

Buying a mediclaim insurance policy for your family works the same way. It is a shield against exorbitant medical expenses. You never know what tomorrow has in store for you. Suppose a family member falls ill and requires major surgery. It becomes hard to accrue huge amounts of money at such short notice. It is always better to protect your family financially, especially with rising medical expenses. This will ensure they’re always safe and secure. Now, let’s have a look at why you should invest in a mediclaim policy for your family.

Relevance Of A Mediclaim Insurance Policy For Your Family

Shyam’s father is a healthy 42-year-old who maintains healthy lifestyle habits. He exercises regularly and eats home-cooked food. Unfortunately, he suffers a heart attack and is hospitalised for treatment.  As Shyam did not have a mediclaim insurance policy for his family, he had to pay the entire amount from his savings. If Shyam had invested in a mediclaim policy for his family, it would have been easier on his pockets.

In 2021, India faced the highest medical inflation rate of 14% among Asian countries. Medical inflation is also expected to see an upward trend in the future. A mediclaim insurance policy for your family will cover you and your family from the burden of such unforeseen expenses.

Here’s why you should invest in a mediclaim insurance policy for your family at the earliest!

Six Top Reasons to Buy Mediclaim Insurance Policy for Family

1. It Covers More Than Just Hospitalisation
In addition to covering treatment and hospitalisation expenses, new mediclaim insurance policies now provide coverage for several other services like:

  • Daycare procedures
    Daycare procedures are treatments that do not require overnight hospital stays. However, the duration may not exceed 24 hours. They include cataract operations, dialysis, chemotherapy, radiotherapy, etc.
  • Outpatient Department (OPD) expenses
    OPD, or an Out-Patient Department, can be defined as the part of a hospital designed for the treatment of outpatients - patients who visit the hospital for diagnosis or treatments that don’t require hospitalizations. This includes dental treatments, dermatological procedures etc.
  • Ambulance costs
    Generally, your health insurance will cover the cost of getting you to a nearby hospital in an emergency road ambulance. It will also cover transportation expenses from one hospital to another for better treatment, provided that the treating physician prescribes this in writing.
  • Maternity and newborn costs
    These include the costs of delivering a child, pre-and post-natal care, newborn baby expenses, and lawful pregnancy termination.
  • AYUSH treatments
    Treatments that are not part of conventional western medicine, i.e., AYUSH treatments (Ayurveda, Yoga, Siddha, Homeopathy, Unani and Naturopathy), also known as alternative treatments are covered too.

2. Rising Inflation
India Today reports that India’s healthcare inflation rate is rising doubly as compared to overall retail inflation Your savings may not prove to be enough to cover the costs of medical treatments, especially in times of emergency. To keep your family always protected, no matter the situation, you should invest in a mediclaim policy with an adequate sum insured as soon as possible. It helps tackle surging medical costs by covering various expenses, including treatment, diagnosis, medicines, etc.

3. The Incidence of Lifestyle Illnesses Has Increased
With changing lifestyles (junk food, smoking, alcohol consumption, etc.) and environmental deterioration, comes an increase in illnesses. Gone are the days when the general consensus was that health insurance would benefit old people. Nowadays, people of all ages are contracting health issues regularly - especially heart, lung, and liver diseases. 50% of heart attacks occur in men below 50 years of age!

In addition to this, technological advancements in the medical industry have found cures and treatments for many serious diseases. But, they can cost a lot. A mediclaim policy can help you cover these treatments as well.

4. Employer Policy That Covers Your Family Might Not Be Sufficient
If you think your employer's health insurance policy will be adequate to cover your family’s health expenses, you, unfortunately, might be in the wrong. Here’s why -

  • You won’t have any control over the cover amount, benefits, and customisations of the policy - which might result in an insufficient cover and not getting the features your family needs.
  • The policy will be terminated if you leave the organisation or when you retire. You and your spouse will be medically susceptible when you’re in the retirement phase due to old age and you will be left with no cover.
  • Rising medical costs may not be tackled by the cover amount provided by the policy.

5. To Protect Your Savings
Most people save money for their new house, car, children’s education, or marriage expenses. When a family member falls sick, you will have to deal with the stress of the expenses along with the mental anguish. You will be forced to use such savings to meet the costs. But in most cases, the amount you’ve saved will be no match to the treatment costs and inflation rates.
This is why it becomes imperative to buy mediclaim insurance for your family. Some insurers even offer cashless treatments so you don’t have to worry about any upfront payments and reimbursement processes. 

6. Tax Advantages
According to Section 80D of the Income Tax Act of 1961, the premiums you pay every year are eligible for tax benefits. The maximum tax deductions you can claim will depend on your and your family member’s age.


The maximum deduction that can be claimed

Individuals and parents below 60 years

  • Deduction of up to Rs 25,000 for you, your spouse, and your children.
  • Deduction of up to Rs. 25,000 for your parents, who are below 60 years.

Individuals below 60 years and parents above 60 years

  • Deduction of up to Rs 25,000 for you, your spouse, and your children.
  • Deduction of up to Rs. 50,000 for your parents, who are above 60 years.

Individuals and parents above 60 years

  • Deduction of up to Rs 50,000 for you, and your spouse above 60 years.
  • Deduction of up to Rs. 50,000 for your parents, who are above 60 years.

To conclude

In today’s fast-paced life, it is significant to take a moment and invest in a mediclaim insurance policy for your family. It will protect you from being financially handicapped by the surge in medical costs and inflation. It helps you tackle untimely situations of unforeseen family medical needs and be assured that they will be financially shielded.

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