Insurance is highly necessary in the modern world as uncertain risks are on the rise by the day. Insurance is an arrangement between the insurer and the insurance company to provide monetary benefit to the former in the case of contingent, unforeseen instances. A wide spectrum of personal and commercial belongings can be insured by the owner in case of theft, fire, traffic collisions, material damage, third party liabilities, etc.
Periodic renewals are required to make sure you are not underinsured. In case of the above, the insurance agency assumes that the insurer is capable of self-insuring the remaining amount.
Insurance agencies have tie ups with different hospitals in the country for the benefit of their clients. Under a cashless insurance health policy, the insured is exempted from paying hospital bills as per the limit of his/her insurance policy.
Yes, Premium paid for mediclaim policy is eligible for tax deduction under section 80 D of the Income Tax Act.
As per current IT rules you can get an exemption up to a maximum sum of Rs.15000 from your taxable income under Section 80-D for Health Insurance Premium paid for self, spouse, dependent children and Rs 20000 if the policy includes senior citizens whose ages is above 65 yrs.If you are paying the medical insurance premium for your parents, an additional deduction of Rs. 15,000 per year can be claimed under section 80D. Again, if your parents are Senior Citizens, you can claim an additional amount of Rs. 20,000.