If you buy health insurance, you get the benefit of exemption under section 80D of the Income Tax Act on payment of premium. Exemption means that this amount is reduced in your net taxable income.
Corona has increased the importance of health insurance a lot. After this epidemic, there has been a huge boom in the health insurance market.
Health insurance not only protects your life, but it is also a great tax saving option. In this way you get two benefits. Let us know what are the benefits you get on the tax front by taking medical insurance.
If you buy health insurance, you get the benefit of exemption under section 80D of the Income Tax Act on payment of premium. Exemption means that this amount is reduced in your net taxable income. Under section 80D, exemption from 25 thousand to 75 thousand can be availed.
If you have taken the policy of Individual and Spouse, then you will get a maximum discount of up to 25 thousand. If the parents are included in the medical insurance and their age is below 60 years, then up to 50 thousand will be exempted. If the age of the parent is more than 60, then you get exemption up to 75 thousand.
Get the benefit of deduction up to Rs 5000
Apart from this, you can avail deduction up to a maximum of Rs 5000 in a financial year under preventive medical checkup. Apart from this, if one buys a multi-year health policy, then you will get double benefits.
The first advantage is that your premium amount gets reduced. The second advantage is on the tax front. For example A deposited a premium of Rs.100000 for 5 years. In such a situation, A will get tax credit of 20 thousand rupees every year.
Some part of the bill has to be deposited from your pocket
For information, let us tell you that even if an individual has a cashless health cover, he has to deposit some part of the medical bill from his pocket. In a report published in Mint, Ankit Agarwal, co-founder of InsuranceDekho, said that the health plan covers various types of medical bills. However, there are some expenses which are not covered under the policy.
Sometimes it happens that the insurance company sees some unnecessary tests in the medical bill. Such tests do not seem suitable for the disease, due to which the claim benefit is not available.
