Government Benefits for Senior Citizens in India
According to a 2016 report by the Ministry of Statistics and Programme Implementation, the number of senior citizens in India is around 104 million (over 10 crores) as of the 2011 Population Census. This number is likely to grow in the coming years.
Life changes after retirement Lack of steady income can create difficulties, so prior planning and investment are essential to stay financially independent. As a person grows older, there arises worry about age-related ailments. In India, medical inflation has become a cause of stress for many families as they end up spending a lot on medical treatment. The need for senior citizen health insurance plans cannot be overlooked. Such plans are designed with unique features, keeping in mind the benefits of senior citizens.
Having a health cover is a must for everyone. There are a plethora of options available nowadays. However, one should choose a health insurance plan which rightly fulfills the healthcare requirements of an individual or family. Standalone health insurance companies like Care Health Insurance, provide tailored senior citizen plans that include benefits such as in-patient care, coverage for pre and post-hospitalization medical expenses, annual health check-ups, alternative treatment coverage, and so on.
Government Schemes with Senior Citizen Benefits
The Indian government provides several benefits for senior citizens in India to help the elderly live a stress-free life. Senior citizens in India can benefit from income tax rebates, discounts on train tickets and airfare, and higher deductions on health insurance premiums under Section 80D of the Income Tax Act.
In addition, there are various senior citizen saving schemes, as mentioned below, that help them in many ways.
- Varishta Mediclaim Policy: The government has also made an effort to ensure senior citizens support good health cover in today’s times of medical inflation. The Varishta Mediclaim Policy is available to senior citizens aged between 60 and 80 years. It offers sum insured options of Rs 1 Lakh and Rs 2 Lakh for critical illness treatment and hospitalisation costs. This policy also provides tax benefits under Section 80D of the Income Tax Act.
- Pradhan Mantri Jan Arogya Yojana (PM-JAY): The Pradhan Mantri Jan Arogya Yojana (PM-JAY) was launched in 2018 under the Ayushman Bharat flagship scheme. It is one of the government's largest health assurance schemes, providing health coverage of Rs 5 lakhs per family per year for secondary and tertiary care hospitalization to several low-income families in India.
- Senior Citizen Savings Scheme (SCSS): This scheme is helpful for senior citizens who want to boost their savings. Any person above the age of 60 can open an account under SCSS, starting with a minimum deposit of Rs 1,000 and maximum up to Rs 15 Lakhs. For investments made in this scheme, one can claim tax deductions up to Rs 1.5 lakh under Section 80C. However, the interest amount is taxable.
- Pension Schemes: Schemes such as the Pradhan Mantri Vaya Vandana Yojana (PMVVY) by the Life Insurance Corporation (LIC) of India aim at providing social security to the elderly. The Varishta Pension Bima Yojana is another pension scheme provided by the Ministry of Finance and managed by LIC.
- Healthcare Services: The National Programme for the Health Care for the Elderly (NPHCE), introduced by the Ministry of Health & Family Welfare in 2010, aims at offering easily accessible, preventive, promotional, curative and rehabilitative health services for the elderly. The government is offering medical facilities for senior citizens under the Ministry of AYUSH.
The Need for Standalone Senior Citizen Health Insurance Policy
Although, these government schemes prove beneficial when it comes to the much-needed financial support, one should realise that the best way to tackle the impact of medical inflation is by opting for a separate health cover that offers high sum insured. For the general population, there is a greater need for a health cover that can take care of hospitalisation and other expenses which often range in lakhs of rupees.
- Private hospitals in India have an edge over government-run hospitals when it comes to providing advanced medical care. People are forced to rely on their hard-earned savings due to the excessive cost of healthcare. Dealing with medical emergencies can result in financial hardships without the support of health insurance. Thus, opting for a senior citizen health insurance policy with a good sum insured is a decision you would never regret.
>> Also read The latest income tax benefits for senior citizens.
Health Insurance Minimises the Burden of Medical Expenses
A Health insurance plans for senior citizens covers a range of medical expenses that an individual may incur in a year. It comes with various benefits and features such as:
- Cover for in-patient care, day care treatment, domiciliary hospitalization, pre-and-post hospitalization medical expenses and ambulance costs.
- Cashless treatment facility at any network hospital.
- Defined coverage for alternative treatment.
- Annual health check-ups offered on a cashless basis.
- Tax deduction of up to Rs 50,000 under Section 80D of I-T Act.
Summing it up
It is a well-known fact that health-related risks increase with age. Thus, salaried individuals should focus on planning for a comfortable retirement by investing in various savings schemes. At the same time, they should consider buying senior citizen health insurance policy once they reach the age of 60 to lead a life without worries.
Give your elderly parents the gift of a financially secured future by opting for health cover. ‘Care Senior’ by Care Health Insurance is a health policy for senior citizens with numerous benefits, including in-patient hospitalization cover, alternative treatment cover and annual health check-ups.
Disclaimer: Plan features, benefits, coverage, and underwriting of claims are subject to policy terms and conditions. Please refer to the brochure, sales prospectus and policy documents carefully.
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