How to Save Money with Your Family Health Insurance


With rising medical cost, a health insurance policy in today’s time has become a must have. A sudden case of medical exigency can have a very detrimental effect, both mentally as well as financially.


There are various types of policies that are available in the market. However, it’s very important to know what type of policy an individual should opt for. While a single person can look for a robust health care plan, on the contrary the individual living with the family should choose a family floater plan as it helps you avail better services and benefits under one single plan. Having a floater enables the family members to claim access to a larger shared pool, than individual covers,” says Mahavir Chopra, head, e-business, Medimanage, a health insurance broking firm.


Through this article, let’s understand what’s the importance and benefits of a family floater plan, particularly for those people who want to cover each member of the family without spending a fortune.

What is a family floater plan?

A family floater plan provides health coverage to multiple members of your family. On yearly basis or as per the timeline specified in your policy, you can make one-time payment of the premium for the coverage provided to the entire family.

Benefits of a family floater plan

Covers the entire family

As compared to an individual health care plan, a family floater plan helps in saving money via incorporating the entire family under the one single plan. Family floater Mediclaim cover offers a fixed sum insured for the family members that can be availed either by an individual member or by any other member of the family. Purchasing different policies for each member of the family can cost quite expensive and might or might not get used depending on the health condition of your family members. For example if Ramesh’s family members live a healthy lifestyle, chances of them falling seriously ill is quite less as compared to a family where family members have a history of disorders which might require individual attention. In most cases, a family floater plan works quite effective and sufficient for the entire family, which automatically helps in saving money.

No hassle of maintaining several documents

In case you have different policies for each member of your family. Not only it’s costing you more as compared to a single plan for the entire family, you are also wasting your time in maintaining large number of documents and issues relating to it.

Acts a blessing in case of an emergency

One of the most prominent features of a family health floater plan is that, in case any of your family member gets sick and needs to be hospitalized, then the entire sum insured can be utilized by the un-well member of the family. This helps the family in avoiding any chances of spending out of savings or getting trapped in the vicious cycle of debts.

Can cover extended family also

A family floater family generally covers the individual, spouse and children. However, there are certain insurance policies that gives you an option to cover your siblings and in-laws too. Also, in such situations, premium might be little expensive that would again depend on the nature of the policy, features and the insurance company.

Other key factors essential in choosing a financially beneficial plan

Employers insurance

As the importance of insurance is only rising with the escalating cost of health care and health hazards, companies in India offers the facility of medi-claim to their employees. The medi-claim provided by the employer comes free, and that too with a minimum amount charged as compared to the cost you pay for an individual or a private plan. Moreover, in most cases the group insurance provided by your employer also covers employee’s dependent like spouse and children. The only flip side is the timeline; it stays with you till the time you are employed, else till the time you are part of the company, you get the benefits of being insured.

Start Early

It’s been seen that in older age, health disorders increase because of the fragile nature of the body. Timely investment in a policy, automatically gives you access to better chances of saving as well as living a healthy and a peaceful life.

Choose lower cost benefits

Cheaper policies might not be the best one in the market. In case your priority lies in saving money and not paying a very high premium amount, than don’t pick any random policy. Do a detailed research and choose a policy that has the least premium yet high sum covered.

Take basic hospitalization cover

If you can’t invest in a specialized health insurance, at least try to take a basic hospitalization cover which will function as the security blanket for your family against any sudden medical emergency. Since basic covers cost less, as compared to a detailed plan, you can save some money on their premiums. If you are planning to buy a policy, you can go for HDFC ERGO health insurance, which has all the important aspects covered.

Go for a top-up

If you are already covered by your employer or have your individual health insurance, but are looking for a higher sum insured, you need not take an additional policy. Simply take a top up cover, which will help you save money on the cost of the premiums.

It’s better to be safe, than sorry. Being pragmatic, research oriented and prudent enough can let you save on money as well help to choose a beneficial policy.