Health insurance is something we all know about, but you may be unaware of the tax benefits that are associated with health insurance. You can save some money by taking tax exemption on premiums for health insurance.
What is Health Insurance?
Health Insurance is a type of insurance that covers the medical expenses of the insured. These expenses could be related to any medical expense such as hospitalization costs, cost of medicines, or doctor consultation fees. Nowadays, healthcare is very expensive, a small illness or accident can cost you lakhs. And in case of deadly illnesses such as Cancer or so, the expenses could be never-ending. And to meet such expenses health insurance is a must, it not only covers you but your family as well. So, make sure you buy one, and forget to claim the tax benefits given below.
What are tax benefits associated with health insurance –
You get tax benefits under section 80D, you can claim tax benefits on any amount paid for health insurance, as a premium, or as a medical check-up cost-
1. If you buy health insurance for yourself as well as your family – all below the age of 60 years, then you can claim a deduction of up to Rs.25000, this would include your premium payment. Also, you can get a deduction of Rs.5000 for a preventive health checkup, collective for all the members of the family. Total deduction- rs.25000 +5000. Also, if you pay for your parent’s health insurance as well, who are below the age of 60. Then you can claim an additional deduction of Rs.25000, and Rs. 5000 for a preventive health check-up. Total deduction- rs.50,000 +10000
2. If you buy health insurance for yourself as well as your family, and all the members are below 60, then you get a deduction of Rs.25000 and Rs. 5000 for a preventive health check-up. And if your parents are above 60, and you are paying for their insurance then you can get a tax deduction of Rs.50,000 and Rs. 7000 for a preventive health check-up. Total deduction- rs.75000 + rs.12000
3. If you buy health insurance for yourself as well as your family, and the eldest member is above 60, then you get a deduction of Rs.50000 and Rs. 7000 for a preventive health check-up. And if your parents are above 60, and you are paying for their insurance then you can get a tax deduction of Rs.50,000 and Rs. 7000 for a preventive health check-up. Total deduction- rs.100,000 + 14000
4. The tax deduction can be claimed for the premium in the same financial year only.
In closing – Make sure you claim the tax benefit you are entitled, so that you can save some money. And ensure that you get timely medical check-ups.
What is Health Insurance?
Health Insurance is a type of insurance that covers the medical expenses of the insured. These expenses could be related to any medical expense such as hospitalization costs, cost of medicines, or doctor consultation fees. Nowadays, healthcare is very expensive, a small illness or accident can cost you lakhs. And in case of deadly illnesses such as Cancer or so, the expenses could be never-ending. And to meet such expenses health insurance is a must, it not only covers you but your family as well. So, make sure you buy one, and forget to claim the tax benefits given below.
What are tax benefits associated with health insurance –
You get tax benefits under section 80D, you can claim tax benefits on any amount paid for health insurance, as a premium, or as a medical check-up cost-
1. If you buy health insurance for yourself as well as your family – all below the age of 60 years, then you can claim a deduction of up to Rs.25000, this would include your premium payment. Also, you can get a deduction of Rs.5000 for a preventive health checkup, collective for all the members of the family. Total deduction- rs.25000 +5000. Also, if you pay for your parent’s health insurance as well, who are below the age of 60. Then you can claim an additional deduction of Rs.25000, and Rs. 5000 for a preventive health check-up. Total deduction- rs.50,000 +10000
2. If you buy health insurance for yourself as well as your family, and all the members are below 60, then you get a deduction of Rs.25000 and Rs. 5000 for a preventive health check-up. And if your parents are above 60, and you are paying for their insurance then you can get a tax deduction of Rs.50,000 and Rs. 7000 for a preventive health check-up. Total deduction- rs.75000 + rs.12000
3. If you buy health insurance for yourself as well as your family, and the eldest member is above 60, then you get a deduction of Rs.50000 and Rs. 7000 for a preventive health check-up. And if your parents are above 60, and you are paying for their insurance then you can get a tax deduction of Rs.50,000 and Rs. 7000 for a preventive health check-up. Total deduction- rs.100,000 + 14000
4. The tax deduction can be claimed for the premium in the same financial year only.
In closing – Make sure you claim the tax benefit you are entitled, so that you can save some money. And ensure that you get timely medical check-ups.