Insurance policies are a saviour in case of emergencies or uncertainties and health insurance is one of the most important variants available. In today's world where our lifestyle is changing rapidly, the need for health insurance cover has increased, especially for senior citizens. Purchasing health insurance policies for your parents could help you to manage unforeseen medical expenses.

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Many insurers offer health insurance plans which also allow coverage for spouse and parents along with the policy holder. However, such policies may not provide an adequate insurance amount to meet the medical expenses of your elderly parents. If you are purchasing separate health insurance plans for parents, it is important to consider a few factors before finalising a policy.

Factors to consider before finalising health insurance policy for parents

1)  Start investing early

It is important to start investing in health insurance for your parents as early as possible while they are still young and healthy. This would help you in saving on premiums as insurance companies generally charge higher premiums for older policyholders.

2)  Understand their medical needs

If your parents have existing medical conditions, choose a policy that covers the illnesses that your parents probably face in future. Take a note of their age, pre-existing illnesses, and current health status before finalising a health insurance plan. It’s advisable to opt for health insurance that covers your parents' specific medical needs.

3)  Health insurance amount should be adequate

Try choosing a policy that offers optimum cover to your parents' anticipated medical requirements in the future. Remember that medical expenses are subject to a rise over time due to inflation and choose the health insurance policy that provides a coverage amount that is sufficient in the long-run.

Also, check the type of the policy. For instance, Family Floater Plans can be cost-effective as they provide cover to multiple family members though a single policy. Conversely, purchasing an individual policy could offer comprehensive and tailor-made solutions for your parents' medical needs.

4)  Assess the policy features

It is essential to assess the policy features carefully before choosing a medical insurance policy for parents. The factors to consider include:

Waiting period: Insurance policies generally have a waiting period for processing claims in case the policyholder has a pre-existing medical condition. Read the terms and conditions carefully to know about the waiting period, if any, to avoid a financial crisis in future.

Sub-limits: Policies often have sub-limits on some medical costs, including room rent or particular treatments. Ensure that these terms are in line with your parents' medical needs.

Exclusions: Make a note of treatments or medical expenses not covered under the policy and choose the plan that best suits your parents' requirements.

Network hospitals: Go through the list of network hospitals that offer cashless treatment and opt for a policy that lists hospitals easily accessible to your parents during a medical emergency.

5)  Compare different policies

Don't rush to purchase a plan immediately as it's crucial to compare the terms and features of different health insurance policies to make a decision. You can use policy comparison tools available online or can seek expert advice for the same. In addition, you can use your analytical skills to make a decision by reviewing the terms of the health insurance policy agreement.