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Dependent Child Moving Out Of Family Floater Policy After Maximum Allowable Age

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26 May, 2021 by  Sanjay Viswanadha

Hi,


I want to understand what usually happens when a dependent child is moving out of a family floater policy after maximum allowable age of a dependent child.

a) Whether the existing premium will be reduced for the existing policy holders ( how it will impact the sum insured)

b) Will the child move to individual policy and what will be the sum insured for them and also what happens to the no claim bonus acquired in the previous policy.


Any other points which we need to take care.


Regards

Sanjay

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Health Insurance

1 Answer

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26 May, 2021

Hi Sanjay,


When the child reaches the maximum allowable age for a dependent in the family floater health insurance policy, your Insurer will give you the option of moving the child into an equivalent individual health insurance policy. At this point, you also have the option of porting your son/daughter out into a health insurance product run by another Insurer. The following happens -


a) Upon shifting into an individual policy of the same Insurer or another Insurer, your child retains all the continuity benefits from the previous family floater policy. This includes waiver of waiting periods equal to the time served in the family floater policy.


b) Premium in your family floater policy is adjusted to be charged for only the remaining lives. There is no impact on Sum Insured including no claim bonus.


c) Your child gets her own Sum Insured in the new individual policy for which she pays the premium. No claim bonus of the floater policy stays in the floater policy.


Hope this helps. Thanks


Asad Akbar

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27 May, 2021
Sanjay Viswanadha
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