Buying health insurance requires a lot of factors to consider - features, premium amount, illness covered, coverage provided and much more. Another aspect one should consider is whether to buy family floater health insurance or get multi-individual health insurance.

While family health insurance plans bring a whole family under one umbrella insurance, the individual health insurance plan will provide flexibility to each individual according to their needs, age, medical conditions etc.

This article will break down the differences between family floaters and multi-individual health insurance. It will help you understand which type of health insurance is best suited to you according to your needs.

What Is A Multi-Individual Plan?

A multi-individual health insurance is constructed to provide coverage for more than one individual in the same policy. The plan will provide each individual with their own limit i.e. despite one person utilising their limit the policy of other individuals under the umbrella policy stays unaffected.

This type of individual health insurance is best suited for big families requiring multiple insurances. It can also be used by businesses to provide coverage to their employees and their families. A multi-individual plan provides the flexibility to customise a health insurance policy that can meet the variety of needs of each individual exclusively.

What Is A Family Floater Plan?

A family floater health insurance, as the name states, facilitates an entire family under the same health insurance. In a family floater health insurance, a fixed insured sum is offered. This sum can be used by any member of a family that is registered under the family health insurance plans. For instance, if one family member falls sick and requires medical assistance, the cost of treatment will be provided by using the common sum insured that is allotted between all registered members of the family.

What Is The Difference Between The Two?

There is a stark difference between family floater health insurance and multi-individual health insurance. Here is the difference between the two health insurance.

Also Read: 5 Important Benefits of Health Insurance

How To Make The Right Choice?

The question that arises is - how to know which insurance is best suited for the family? Picking between a family floater health insurance and multi-individual health insurance can become tricky. Here is a guide on how to analyse and opt for health insurance according to your needs:-

Account for the medical needs of every family member. Factors such as age, pre-existing ailments and medical history should be considered. If in case an individual needs customised healthcare requirements, a multi-individual plan would give more precise coverage.

A family floater plan is suggested typically for small-sized families whereas a multi-individual plan would be more feasible for large families as they would have diverse medical needs. Health insurance should be opted on the basis of family members and the coverage required for them.

Review the limits of coverage provided by both - family floater health insurance and multi-individual health insurance. While a family floater gives a shared sum insured, multi-individual plans provide individual coverage limits. It is up to the individual to analyse which plan will suffice the healthcare needs of their family members.

Study the premiums of all options available. Generally, multi-individual plans are more pricey than family floater plans. Take into consideration your budget and which insurance is the most feasible according to your financial balance.

Many factors may come into play in the future - parents getting older, adding new family members or any unforeseen circumstances. Select a plan that is going to be flexible and will keep you protected by ensuring you with coverages that would be useful in the future.

Conclusion

The key difference between multi-individual plans and family floater plans is the structure of their coverage. While multi-individual plans provide each person with their personalised coverage limit, a family floater gives a sum insured that can be utilised by the entire family. Based on the different requirements and health insurance needs, an individual can buy health insurance that is best suited to them.

Disclaimer: The above information is indicative in nature. For more details on the risk factor, terms and conditions, please refer to the Sales Brochure and Policy Wordings carefully before concluding a sale.