' Why You Should Buy Family Floater Health Insurance Plans

why you should buy family health insurance plans in india

It is often said ‘health is wealth’. In today’s time, this adage seems to hold true more than ever. In our fast-paced lives, somewhere health has taken a backseat. From the food we eat to the air we breathe, everything is subject to adulteration. This has taken a toll on our health and we hear of people as young as 40 suffering from cardiac arrests because of stressed lifestyles. This is where a health insurance policy can come to your rescue.

While getting one, you may need to choose between an individual health plan and a family floater insurance plan. Let’s know more about these plans to help you make the right choice.

What are Family Floater Insurance Plans?

As the name suggests, a family floater insurance plan covers more than one member of a family for a single annual premium. Remember, sum insured is on family floater basis, where each family member is covered up to the sum insured. Such a policy provides guaranteed coverage for two or more members of a family in the event any ailments, or medical emergencies require hospitalisation. If the family’s medical history is good, it makes more sense to opt for a family floater insurance plan that can take care of the entire family as opposed to an individual health insurance plan catering to a single individual.

Many family floater insurance plans of leading insurance providers allow coverage for self, your spouse and up to 6 children.

Selecting Best Health Insurance Policy for Family

While you consider the best health insurance policy for family, use the following parameters to analyse your choice:

Best CoverageBasic Coverage: Choose the most beneficial health plan for your family that provides basic coverage on most diseases, covers special treatment etc. If you are planning for a child, look for a family floater insurance plan that includes insurance for the newborn or allows you to add the baby as a beneficiary to the policy. 


ClaimClaim Settlement: Insurance company is required to follow the same claim process as directed by the insurance regulator, it is a good idea to read the terms and conditions and understand the claims process.


CashlessCashless Hospitalisation: It is recommended to enquire and crosscheck the hospitals included in the network hospitals of the insurance companies that have a tie-up for cashless hospitalisation.


Benefits of Buying Family floater Insurance Plans

Following are the benefits of investing in a family floater insurance plan:

Hassle free familyHassle-free: Since a family floater policy is a single policy that takes care of the family, you are no longer required to keep track of different health policies and the documentation that comes with it.


DiscountDiscounts: You can avail 10% discount when you purchase individual or family floater insurance online with reliance health insurance.


Countinuous policy coverContinuous Policy Cover: Insurance company also allows for 13 months cover at the premium of 12 months cover. 26 months cover at the premium of 24 months cover.


Tax benefitTax Benefits: You can avail a tax benefit of ₹ 75,000 under section 80D of the Income Tax Act, which includes ₹ 50,000 for parents / senior citizens and ₹ 25,000 for self.


Things to Know

A family floater insurance policy is similar to a group health insurance policy. There are certain key points to bear in mind before investing in such a policy:

  • Avoid including your senior citizen parents in your existing health insurance plan as that could significantly increase your premiums.
  • A family floater insurance plan covers dependent children up to a certain age (up to 25 years). As soon as he/she crosses that age, the policy no longer covers them.


A family floater insurance policy is a protective cover, which can shield your entire family in case of a medical emergency and allow you to recuperate in peace. For most families with no significant history of chronic issues, family floater insurance plans are the ideal choice. However, if any family member has an adverse health condition, then consider buying individual health insurance for that member, as it will prove more beneficial in the end.

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Why You Should Buy Family Floater Health Insurance Plans in India

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