After making the decision to buy a Health Insurance policy, you must also be wondering about which scheme is better, a family floater or an Individual Health Insurance plan. Before choosing one out of the other, you have to understand clearly what both policies offer and what are their pros and cons.
A family floater provides fixed cover to the entire family, which usually consists of two children and two adults. For example, if you take an insurance cover of 4 lakhs, then your entire family may claim up to 4 lakhs together. Some of the advantages of choosing a family floater policy are that it proves to be less expensive than an individual policy, it is a great option for families that have lower health risks and immediate family members like kids and spouse can be added.
One of the benefits for which most of the families prefer family floater over individual health insurance is that if you claim only once in a year, then the family member gets great amount of claim as compared to what may have been given to him in an individual health insurance cover.
family floater insuranceIn an individual health insurance policy, every insured member is entitled to the entire insurance amount separately. Unlike family floater, an individual health insurance policy can extend to other members of the family including in-laws, siblings and parents. An individual policy is also great for families who have older family members and have higher health risks.
There is no maximum age limit in case of renewal of the policy and the benefits of discounts and loading can be availed until the plan lapses. However, this kind of health insurance policy can prove to be more expensive for families who have lower health risks.
Even though the difference between the premium rates of both family floater and individual health insurance is not too much, a family with young family members should choose a family floater policy, instead of an individual health insurance policy. This is because younger people have lower health related risks and thus, may not claim their insurance for the entire year.
After knowing all this, we have come to a conclusion that both of the policies have their own advantages and disadvantages. It would be a wise thing to have a family floater as well as an individual health insurance cover to meet their medical expenses in case of a mishap.
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