Essential Health Insurance Tax Benefits You Should Know

Health insurance is crucial for financial protection against medical expenses. It not only safeguards your finances but also offers tax benefits. Understanding this can help you save money and manage your finances better. Here’s a look at some essential health insurance tax benefits and how to make the most of them.

Tax Benefits Under Section 80D

Section 80D of the Income Tax Act, 1961 allows you to claim deductions on the premium paid for health insurance policies. These deductions apply to premiums paid for self, spouse, children, and parents. Here’s a breakdown of the benefits:

For Individuals Below 60 Years

• You can claim a deduction of up to ₹25,000 per year on the premium paid for yourself, your spouse, and your children.
• If you are paying the premium for your parents below 60 years, you can claim an additional deduction of up to ₹25,000.

For Senior Citizens

• If you or your spouse is above 60 years, the deduction limit increases to ₹50,000.
• If you are paying the premium for your parents above 60 years, you can claim an additional deduction of up to ₹50,000.

Preventive Health Check-ups

You can also claim up to ₹5,000 per year for preventive health check-ups. This amount is included within the overall limit of ₹25,000 or ₹50,000, as applicable.

Additional Tax Benefits on Health Insurance

• Section 80DD

Section 80DD provides tax deductions for individuals. These apply to those who incur expenses on the treatment of a dependent with a disability. The deduction limit is ₹75,000 for regular disability and ₹1.25 lakh for severe disability. This can be claimed for expenses related to treatment, nursing, and rehabilitation. It also covers premiums for health insurance policies for disabled dependents.

• Section 80DDB

Section 80DDB provides tax deductions for expenses incurred in treating specified diseases. The deduction is available up to ₹40,000 for individuals below 60 years and ₹1 lakh for senior citizens. To claim this deduction, you need to obtain a certificate of the disease from a specialist doctor.

How to Claim Health Insurance Tax Benefits

• Maintain Proper Documentation

Ensure you keep all receipts and documents related to health insurance premium payments. This includes payment receipts, policy documents, and any certificates. Certificates required under specific sections like 80DDB are also included.

• Filing Your Income Tax Return

When filing your income tax return, include the details of your premium payments. Make sure to place them under the relevant sections. Online tax filing platforms often guide you to claim these deductions.

• Consult a Tax Advisor

If you have any doubts or complex situations, consulting a tax advisor can help. They can provide personalised advice and ensure you claim all eligible deductions correctly.

Health Insurance on Bajaj Markets

Bajaj Markets features a wide range of health insurance policies that cater to different needs. Here’s why you should consider health insurance on Bajaj Markets:

• Comprehensive Coverage

Bajaj Markets’ partner lenders provide comprehensive health insurance plans. These plans cover various medical expenses. This includes hospitalisation, pre and post-hospitalisation, and daycare procedures.

• Easy Comparison and Purchase

On bajajfinservmarkets.in, you can easily compare different health insurance plans. The comparison is based on features, benefits, and premiums. This helps you make an informed decision and choose a plan that best suits your needs.

• Affordable Premiums

Health insurance plans on Bajaj Markets come with affordable premiums. This ensures you get maximum coverage without straining your budget. Additionally, you can benefit from the tax deductions on these premiums. This makes it even more cost-effective.

• Cashless Treatment

Many health insurance plans on Bajaj Markets offer cashless treatment at network hospitals. This means you don’t have to worry about arranging funds during a medical emergency. The insurance company settles the bill directly with the hospital.

• Hassle-free Claims Process

Bajaj Markets ensures a hassle-free claims process with minimal paperwork. You can easily file a claim online and track its status. This transparency and efficiency make managing your health insurance simple and stress-free.

Preventive Health Check-Ups

Regular health check-ups can help in early detection and prevention of diseases. Some health insurance plans on Bajaj Markets include coverage for preventive health check-ups. Utilising this benefit can keep you healthy and also help you claim a deduction of ₹5,000 under Section 80D.

Benefits for Senior Citizens

For senior citizens, Bajaj Markets features health insurance plans with higher coverage limits. These also come with additional benefits. Such plans cater to the specific health needs of older adults. They ensure the best medical care without financial stress. The increased tax deduction limit of ₹50,000 under Section 80D is an added advantage for seniors.

Family Floater Plans

Bajaj Markets also offers family floater health insurance plans via its partners. These plans cover the entire family under a single policy. This makes it more economical and easier to manage. You can claim tax deductions on the premium paid for these plans. This enhances your savings.

How to Choose the Right Health Insurance Plan

• Assess Your Needs

Evaluate your health needs and those of your family members. Consider factors like age, medical history, and potential health risks. This assessment helps you choose a plan with adequate coverage.

• Compare Plans

Use the comparison tools on bajajfinservmarkets.in to compare different health insurance plans. Look at the coverage, exclusions, claim process, and premium costs. Comparing plans ensures you get the best value for your money.

• Check the Network Hospitals

Ensure the health insurance plan you choose has a wide network of hospitals. This includes those near your residence. This ensures easy access to cashless treatment during emergencies.

• Read the Fine Print

Carefully read the policy documents to understand the terms and conditions. Pay attention to the exclusions, waiting periods, and claim procedures. Being well-informed helps you avoid surprises during a claim.

Understanding health insurance tax benefits can significantly enhance your financial planning. Choosing health insurance on Bajaj Markets secures comprehensive medical coverage. Moreover, it offers substantial tax savings. The ease of comparison, along with affordable premiums and an easy claims process, makes it beneficial. Evaluate your needs, compare plans, and make an informed decision. This ensures you and your family are well-protected while maximising your tax benefits.