How do you benefit from family floater health insurance?

One can buy a health insurance policy of Rs 2 lakh for himself, another policy of Rs 2 lakh for his spouse and Rs 1 lakh policy for his son. Instead of buying separate health insurance policies for each member, he can buy a family floater policy of Rs 5 lakh. Here each member of the family can avail cover of Rs 5 lakh in case of hospitalization. “Point to note is, the sum assured limit is not individual limit but a collective one,” explains Deepak Yohannan, ceo, myinsuranceclub.Keep your parents out of the family floater health insurance policies, as most insurance companies calculate premium based on the age of the eldest member in the family. This inflates the cost. Secondly, there is a high chance of your parents making a claim whereas a young member has a low possibility of claim arising out of hospitalization. By keeping them out, you save a lot on health insurance. Instead buy separate health insurance policy for each of your parent, says Deepak Yohannan.