Are there any Benefits to Maintaining Multiple Health Insurance Plans?

According to data published by the Ministry of Statistic and Programme Implementation (MOSPI) in May 2021, healthcare inflation increased to 7.8% in April 2021, the highest figure over a 20-month period.  Compared to this, retail inflation stood at a mere 4.3%.

With healthcare costs rising steadily, having multiple health insurance plans means having more coverage. Obviously, the more the coverage the better would you be protected against the financial implications of medical emergencies. That being said, the main question is – How much premium can you afford, year on year, to continue the coverage lifelong?

The premium aspect of health insurance plans is no secret. If you buy a health insurance policy, you have to pay a premium to secure the coverage. So, it becomes imperative to make your health insurance plan cost-effective without compromising on the coverage. And how do you do that?

The best way to ensure maximum coverage without burning a hole in your pocket is to combine multiple health plans to create the perfect health insurance portfolio. Here are some options for you to consider –

Individual + family floater coverage

Under this combination, you can opt for an individual health insurance plan for yourself or for a family member facing the highest risk of medical contingencies. Thereafter, the remaining family members can be covered under floater coverage.

For example, the following combinations might work –

  • Individual for self + floater for spouse and kids
  • Individual for dependent parents + floater for self, spouse and kids
  • Individual for adult child, i.e. aged more than 18 years + floater for self and spouse

Try and opt for a separate health plan for dependent parents rather than covering them under the floater policy.

Floater + senior citizen plan

As mentioned earlier, an independent health insurance policy for parents is a better alternative. This is because, given their age, adding your parents to the coverage would drive up the premium and also result in frequent claims wiping out your no claim bonus. So, it is better to opt for an independent policy for them which would cover their specific medical needs.

So, in this combination, you can buy a floater plan to cover yourself, spouse and dependent children and another family floater senior citizen health insurance plan for your parents.

Base plan + super top-up

This combination is perfect for affording a high sum insured without paying a high premium. Under this combination you buy a basic health insurance policy with a sum insured that you can afford. Then, you top-up the coverage with the help of a super top-up plan. The deductible of the super top-up plan should be equal to the sum insured of the base plan. Thus, claims up to the deductible would be handled by the base health plan while excessive claims would be paid by the super top-up policy.

For example, if you buy a base plan of Rs.10 lakhs and a super top-up of Rs.40 lakhs with a deductible of Rs.10 lakhs, you can enjoy coverage of Rs.50 lakhs. Claims up to Rs.10 lakhs would be paid by the base policy and any excess claims would be covered by the super top-up plan.

If you also add coverage for critical illness, you pay a small additional premium and get comprehensive coverage against dreaded illnesses and medical procedures.

Grouping of family members

You can also invest in multiple health insurance plans by grouping your family members into distinct groups and then buying a health plan for the specific needs of each group. Here’s how grouping would work –

  1. Grouping based on age
    This is the most common form of grouping wherein you can buy separate plans for groups of members belonging to the same age bracket. For example, you and your spouse can have family floater coverage. Your kids can also be included in the same plan. However, for dependent parents, you can choose separate floater coverage.
  2. Grouping based on needs
    Here the coverage needs of your family members need to be considered so that you can group members with similar coverage needs in a single plan. For example, if your parents are suffering from diabetes or hypertension, you can buy a separate plan for them which covers these illnesses. Similarly, if you and your spouse would be planning a family soon, a health plan with maternity coverage would be suitable.

The bottom line

Multiple health insurance plans are good as they provide added layers of coverage and make for an optimal sum insured. However, when choosing multiple health insurance policies, ensure that you combine and opt for different types of health policies with relevant coverage benefits rather than buying more of similar plans. By combining different types of health plans you can actually create a suitable portfolio of health insurance which would cater to the financial emergencies that arise in a medical complication faced by you or any other member of your family.

To find the best health insurance plans you can visit You can avail of personalized guidance on creating a suitable health insurance portfolio for your needs. Our Health Insurance Experts are happy to help you should you need any assistance along the way. Please get in touch with us over WhatsApp chat on 8278271818 or call us on 18002028118 for more information

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