Health insurance is essential at every stage of life, but for senior citizens, it becomes even more critical. As medical expenses rise, having the right insurance plan can provide financial security and peace of mind. However, many elderly individuals struggle to find affordable health insurance due to high premiums and pre-existing health conditions. The good news is that with the right approach, elders can secure budget-friendly health insurance without compromising on coverage.
In this article, we will explore five smart ways to get cost-effective health insurance for senior citizens, ensuring they receive the medical support they need without straining their finances.
1. Opt for Senior Citizen-Specific Health Insurance Plans
Many insurance companies in India offer specialized health insurance plans for senior citizens. These policies are designed to cater to the specific medical needs of older adults while keeping the costs reasonable.
Key Benefits of Senior Citizen Health Insurance Plans:
- Covers hospitalization expenses, pre-existing diseases, and critical illnesses.
- Higher entry age limit, typically between 60 and 75 years.
- Some plans include domiciliary treatment and alternative medicine (AYUSH) coverage.
- No requirement for pre-medical check-ups in certain cases.
Examples of Popular Senior Citizen Health Plans:
- Star Health Senior Citizens Red Carpet Plan
- Apollo Munich Optima Senior Plan
- Bajaj Allianz Silver Health Plan
- HDFC Ergo My: Health Medisure Senior Plan
- New India Assurance Senior Citizen Mediclaim Policy
By comparing these plans, elders can choose one that suits their medical requirements and budget.
2. Buy Health Insurance at an Early Age
One of the biggest reasons for high health insurance premiums in old age is late enrollment. Insurance companies consider senior citizens as high-risk customers due to their increased chances of falling ill. The best way to keep health insurance affordable is to buy a policy as early as possible.
Why Buy Early?
- Lower premium rates when purchasing a policy before turning 60.
- No waiting period for pre-existing diseases if continuously insured.
- Higher sum insured options at a lower cost.
- Cumulative bonus benefits for claim-free years.
Encouraging elders to get covered before they reach 60 can result in significant long-term savings on premiums.
3. Choose Higher Deductibles to Lower Premiums
A deductible is the amount that the policyholder agrees to pay out-of-pocket before the insurance coverage kicks in. Opting for a higher deductible can significantly reduce the premium amount while still ensuring coverage for major medical expenses.
How Does This Work?
- Suppose a senior citizen selects a plan with a deductible of Rs.50,000.
- If a medical expense of Rs.1,50,000 arises, the policyholder will pay Rs.50,000, and the insurer will cover the remaining Rs.1,00,000.
- Since the insurer’s liability decreases, they offer a lower premium.
Best for:
- Elders who have some savings to cover small medical costs but want insurance for large expenses.
- Those who do not require frequent hospitalization but need protection for emergencies.
4. Consider a Family Floater Policy with a Senior Citizen Add-On
Family floater health insurance plans allow multiple members of a family to be covered under a single policy. Many insurance providers allow adding senior citizens to the policy, making it a cost-effective solution compared to buying a separate policy for elders.
Advantages of Family Floater Plans for Seniors:
- Shared sum insured for the entire family, reducing the overall cost.
- Lower premium compared to standalone senior citizen policies.
- No need for separate claim processes, making it hassle-free.
- Coverage for multiple health risks under a single plan.
While selecting a family floater plan, ensure that it provides adequate coverage for seniors and has an option for lifelong renewability.
5. Utilize Government-Sponsored Health Insurance Schemes
The Government of India offers several health insurance schemes for senior citizens, ensuring that even low-income groups get proper medical coverage at an affordable rate.
Some Popular Government Health Insurance Schemes for Elders:
a) Pradhan Mantri Jan Arogya Yojana (PMJAY) – Ayushman Bharat
- Provides coverage up to Rs.5 lakh per family per year.
- Covers hospitalization, surgeries, and pre-existing diseases.
- No premium costs for eligible beneficiaries.
b) Varishtha Mediclaim Policy by National Insurance
- Specifically designed for individuals aged 60-80 years.
- Covers hospitalization expenses up to Rs.2 lakh.
- Premiums are lower compared to private insurers.
c) Rashtriya Swasthya Bima Yojana (RSBY)
- Targets individuals in the Below Poverty Line (BPL) category.
- Provides hospitalization coverage up to Rs.30,000.
- Covers pre-existing diseases and maternity benefits.
By exploring these government schemes, seniors can significantly reduce their health insurance expenses while still getting comprehensive coverage.
With the rising cost of healthcare, securing affordable health insurance for elders is essential. By choosing the right plan, enrolling early, opting for higher deductibles, considering family floater policies, and leveraging government schemes, senior citizens can get comprehensive coverage without financial burden. Taking the time to research and compare options will ensure that they receive the best benefits at an affordable cost.
