How Does a Family Floater Health Insurance Policy Help by josetenorio


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									   How Does a Family Floater Health Insurance Policy
Family Floater Health Insurance Plan is a Complete Health Insurance plan for the entire family
whereas Individual Health Insurance is for a single person only. Hence Individual Health Insurance
when extended for the entire family is called a Family Floater Plan. Thus, for the entire family the
best insurance solution, based on the requirement could be a Family Floater plan. However, before
the best health insurance solution is obtained, a thorough research and analysis needs to be done
on the need and requirement of the family and compare insurance policies across various
companies to determine the best insurance for the family.

Thus, a Family Floater Policy is a plan which covers the entire family which usually comprises self,
spouse and two dependent children. Some policies do cover dependent parents, parents-in-law and
siblings as well. If a family of four is covered for Rs 5 lakhs in all, then each member is eligible to
use the entire amount of five lakhs as hospitalization expenses. Hence, a family floater policy gives
the benefit of additional coverage. It need not be the best health insurance policy available for the
family but it could definitely be a very cost effective solution with suitable benefits.

A Family Floater Policy is usually less expensive as compared to Individual Health Policies. The
total cost of purchasing individual policies for all four members in a family is always more than
purchasing an umbrella cover for the whole family. The same can easily be verified by insurance
comparison of different policies from various companies.

In case of only one claim in a year, the family member in this Plan gets a greater claim amount
compared to what he might have on an individual cover in an Individual health Insurance Plan. This
is because the entire umbrella cover, of say 5 lakhs, is available to each member.

Also, in a Family Floater plan, since all members can be added to the same plan without purchasing
a fresh policy, it is very simple and effective for an individual to maintain the same. In individual
policies, a fresh policy needs to be taken out every time an addition to the family happens and
hence becomes difficult to track.

Thus, even though this plan may not the answer to the needs and requirements of best health
insurance policy for all families, however it definitely is a solution to most. Even others, who actually
sit down to choose the best insurance policy for their families, and compare insurance policies of
individual policies and Family Floaters, actually end up purchasing a this policy because of the
umbrella cover and it being an economic solution, preferred by most.

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