Claim Deduction for Medical Insurance Premium – 80D

Medical insurance premiumEvery family has their regular medical expenses. Therefore, to reduce medical bills which is a burden, one should adopt mediclaim policy i.e. health insurance premium u/s 80D. Moreover, investments made towards payment of health insurance premiums or medical Insurance Premium or Mediclaim Insurance Policy qualifies for deduction u/s 80D. All Individuals, HUFs, AOPs, BOIs (resident or not) are entitled for a deduction on the payment of health insurance premium other than cash i.e. by cheque, debit or credit card. Quantum of Deduction can be well understood with the following table drawn below.





Mediclaim Premium paid for self, spouse & Dependent children contribution to Central Govt. Health Scheme.

Mediclaim Premium paid for parents whether dependent or not.

Total Deduction u/s 80D.

No one attained the age of 60 years Rs. 15, 000 Rs. 15, 000 Rs. 30, 000
Assessee is less than 60 years of age & parent is a senior citizen Rs. 15, 000 Rs. 20, 000 Rs. 35, 000
Both Individual & the parent attained the age of 60 years Rs. 20, 000 Rs. 20, 000 Rs.40, 000

  Also the very important fact is that from AY 2013-14, deduction of payment is also made for “preventive health check up” of self, spouse, dependent children or parents during the previous year u/s 80D The proposed deduction on preventive health check up will be available up to Rs.5000 & it is included in overall limit and is not an additional one. Individuals, be it senior citizen, will too be benefited from such deduction of Rs. 5000 on preventive health check – ups. The above provisions can be well understood with the following case of Mr. Rohit Maheshwari where, Illustration: Mr. Rohit pays medical insurance premium in cheques as under: a)      Rs. 12,500 for his health (including Rs.5000 for preventive health-checkups.) b)     Rs. 17,500 for his parent health. Compute deduction allowable u/s 80D. Solution: Mr. Rohit will be allowed a deduction of Rs. 27,500 (Rs. 12,500+Rs.15, 000) if neither of his parents is a senior citizen. But in case, his parents are senior citizen then he will be allowed a deduction of Rs. 30, 000 (Rs. 12,500+Rs.17, 500) as limit of senior citizen is up to Rs. 20,000 so full amount of Rs. 17,500 will be considered. Also note, that preventive health check-ups are included in the limit of Rs.15, 000 & Rs.20,000 so no deduction of such will be availed separately.

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