Because “health is wealth,” taking good care of your own and your family’s health is crucial. It is essential to have a health insurance or medical coverage due to the increasing expenses of hospital stays and medical care. It not only makes sure you don’t lose anything after being sick, but it also offers enough coverage. Most crucially, you get tax advantages for health insurance even if you choose not to use it.

Purchasing a health insurance coverage offers you income tax advantages in addition to cost savings.

The tax advantages of health insurance that you should be aware of are listed below. You may use them to help you claim tax deductions in the relevant areas.

Section 80D of the Income Tax Act Deduction
Individual taxpayers may deduct premiums paid under section 80D of the Income Tax Act from their taxes, according to the Government of India (GOI). Benefits on premiums paid for critical sickness coverage are also available to you.
Regarding Oneself and Close Family Members (Husband and Reliant Kids):
The following should be kept in mind while discussing tax advantages associated with health insurance. You may claim up to INR 25,000 in this situation within a financial year, which includes the sum for you, your spouse, and any dependent children. The deduction maximum increases to INR 50,000 if you or your spouse is a senior citizen, meaning they are 60 years of age or more. Any medical examination you may have undergone during that fiscal year, up to INR 5,000, is covered by the deduction.
For guardians:
Up to INR 25,000 may be deducted from parents’ or legal guardians’ medical insurance premiums per fiscal year. The upper limit rises to INR 50,000 every financial year if one of your parents is a senior citizen.
The highest sum that qualifies is always the lesser of the actual premium and the maximum that is allowed under this section. This needs to cover the cost of the medical examination.

Section 80D of the Income Tax Act Deduction
You are eligible to get up to INR 75,000 in health insurance tax benefits if you have a dependant who is disabled. This is determined by the costs associated with nursing care, medical services, rehabilitation, etc. If your impairment is severe, you may be eligible to receive up to INR 1.25 lakh. Here, “dependents” refers to your parents, siblings, spouse, or kids. However, you will need to provide supporting medical certifications in order to claim the discount.

Section 80DDB of the Income Tax Act Deduction
You are eligible to deduct any medical expenditures up to INR 40,000 if you are receiving treatment for a specific condition. The benefit cap is INR 1 lakh if you are filing on a senior citizen’s behalf. Treatments for illnesses listed in Income Tax Act Rule 11DD are included under this. You may deduct this amount for yourself, your spouse, your parents or guardians, your kids, and your siblings. Up to the fiscal year 2017–2018, you were eligible to deduct INR 60,000 and INR 80,000 for elderly citizens (60–80 years old) and super senior citizens (above 80 years old).

Neither group health insurance nor cash payments are tax deductible.
To get the tax advantages associated with health insurance, medical insurance premiums must be paid by debit or credit cards, internet banking, drafts, checks, or drafts. A cash installment payment is not eligible for a tax deduction. On the other hand, monetary payments for the preventative medical exams are accepted and may be written off. Furthermore, employer-paid group health insurance premiums are not eligible for tax advantages.

It’s time to stop worrying about expensive medical costs and start saving money on medical insurance now that you are aware of the tax advantages associated with health insurance in India.

Disclaimer: Before finalizing a deal, carefully read the sales brochure for further information on terms and conditions and risk considerations.