Health insurance plays a pivotal role in safeguarding individuals and families from the financial burdens associated with medical expenses. When it comes to health insurance, two primary options stand out: family floater and individual health insurance. Both serve the common goal of providing financial protection during times of illness, but they differ significantly in their structures and coverage.
This article talks about the distinctions between family floater insurance and individual health insurance, empowering you to make informed decisions about your health coverage.
What is a family floater health insurance plan?
Family floater insurance is a comprehensive health insurance policy designed to cover an entire family under a single umbrella. Rather than purchasing separate policies for each family member, a single policy is issued, offering a shared sum insured that can be utilised by any family member in case of a medical emergency. The sum insured is commonly shared among the family members and can be used for hospitalisation expenses, surgeries, and other covered medical treatments.
This type of health insurance is particularly advantageous for families with multiple members, as it provides a collective coverage that can be utilised by any family member as per their medical needs.
What is individual health insurance?
Individual health insurance, as the name suggests, is a policy that provides coverage to a single individual. Each family member, including parents, spouses, and children, needs to have a separate individual health insurance policy. The sum insured is dedicated solely to the individual insured, ensuring that they have access to the full coverage amount in case of a medical event requiring hospitalisation or other covered treatments.
Individual health insurance is more personalised, allowing individuals to choose coverage based on their specific health requirements. It provides autonomy over the coverage amount, features, and premiums, catering to the unique healthcare needs of each family member.
