This financial year save up to Rs1,00,000on your taxes by purchasing health insurance for you and your family members. Health insurance can be considered as one of the greatest assets for an individual that comes with various benefits. Purchasing a health insurance policy has always proven to be a saviour in case of an emergency and to avoid hefty medical expenses.It helps you save your hard earned money, thus protecting your savings as well. Not only is one provided with coverage against costly hospital bills, but it also makes one eligible for tax deductions.
Pankaj Arora, MD & CEO, Raheja QBE General Insurance Company Limited, said,“The Covid-19 outbreak highlighted the stressful financial burden of treatments, hospitalization and medical expenses, that an adequate insurance cover offers in the uncertain times.Not just Covid-19, a health cover ensures you don’t have to compromise your savings to meet the rising medical costs because of any illness. A health insurance plan with adequate coverage is, therefore, a must-have for the entire family.”
The tax benefit that you can avail on the premium paid towards health insurance policy falls under section 80D of the Income Tax Act, 1961. Health insurance premium can be claimed as tax deduction up to Rs 25,000 for persons under 60 and up to Rs 50,000 for those aged 60 and above . It means if you are below 60 years and want to buy a health insurance plan for yourself and for your parents (atleast 60 years), the total tax benefit can be availed up to Rs 75,000. If both you and your parents are aged 60 years and above, then the maximum deduction that can be availed is upto Rs 1,00,000/.
