Claim tax exemption and benefits on health insurance premiums - Kotak Life

Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term Plan

Protect Your family’s financial future with Kotak e-Term Plan. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more


Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

Kotak e-Term Plan

How to Claim Tax Benefits on Medical Insurance Premium?

Read more about the Health insurance plans and policies, its applicability, tax exemptions, and other tax benefits. To know more in detail, Visit now.

  • Jan 12, 2021

With the rising incidence of medical ailments, contributing risk factors and the ever-increasing healthcare costs; the need for a health insurance plan is indisputable. Today, everyone from the elderly to the youngsters, face several health issues. The treatment for a majority of prevailing health concerns can cause a considerable strain on the financial budget.Therefore, it is crucial to invest in a medical insurance plan early in life.

That’s not all! In addition to extensive financial assistance against medical expenses, health insurance also provides tax relief. The premiums paid for availing health insurance are tax-deductible under Section 80D the Indian Income Tax Act, 1961.

Buy Health Insurance Now

What are the tax savings offered by a health insurance policy?

Every individual and HUF (Hindu Undivided Family) can avail a tax deduction for the annual medical insurance premiums. The deductions under Section 80D, 80DD, 80DDB and 80U are in addition to the Section 80C tax breaks.

Scenario Annual Premium Exemption for Self, Spouse or Children (In Rs.) Annual Premium Exemption for Parents(In Rs.) Annual Tax Deduction(In Rs.) Applicable Section
Individual, family and parents, all less than 60 years 25,000 25,000 50,000 80D
Individual and family (less than 60 years). And even one parent above 60 years 25,000 50,000 75,000 80D
Individual and family, where even one member is over 60 years. And parents are above 60 years 50,000 50,000 1,00,000 80D
HUF members (below 60 years) - - 25,000 80D
HUF members (above 60 years) - - 75,000 for disability. Rs 1,25,000 in case of severe disability 80U (for the individual) 80DD (for dependent)
Individual or dependent family member (any below 60 years of age) with specific diseases* 40,000 40,000 40,000 80DDB
Individual or dependent family member (any above 60 years) with specific diseases* 1,00,000 1,00,000 1,00,000 80DDB

*Specific diseases include neurological issues, cancer, AIDS, chronic kidney failure and haematological disorders. If you have paid your policy premiums in a lump sum, tax benefits will accrue for your health insurance policy term.

How to claim tax exemption on health insurance premiums?

You can claim tax benefits on health insurance at the time of filing your annual income tax returns (ITR) by following these steps:

1. At the time of filing ITR, choose ‘80D’ or the other applicable section under the ‘Deductions’ column.

2. From the drop-down menu, select the condition for which you are claiming the tax exemption. There are seven options in the drop-down, namely:

  • Self and family
  • Self (above 60 years) and family
  • Parents
  • Parents (above 60 years)
  • Self and family with parents
  • Self and family with parents (above 60 years)
  • Self (above 60 years) and family with parents (above 60 years)
  • 3. After this, attach supporting proofs and documents required. Premiums in cash are not tax exempted.

    For example, Yuvraj is 40 years old. He pays health insurance premiums, Rs. 30,000 (for himself) and Rs. 40,000 for his father (65 years). So, at the time of ITR filing, Yuvraj can claim a tax deduction up to Rs. 25,000, for premiums paid for his policy, and up to Rs. 50,000 for premiums paid for his father’s policy. Hence, his total annual tax exemption would be Rs. 65,000 (Rs. 25,000 + Rs. 40,000). This exemption will vary as per the different scenarios mentioned above.

    Medical Insurance and Tax Benefits with Comprehensive Health Insurance from Kotak Life

    Health insurance policies like Kotak Health Shield can provide optimum financial protection and can also act as a great tax-saving investment. The Kotak Health Shield provides cover for major conditions like cancer, cardiac, liver, neuro, as well as, personal accident inclusive of disability and accidental death. You can also avail tax benefits on the premium paid as per the prevailing tax laws.

    Choosing the right insurance policy is like a solid investment for the future. So, choose well.

Kotak e-Term Plan

Download Brochure


  • Nominal Cost
  • Multiple Plan Options
  • Flexible Payout Options
  • Critical Illness Rider
  • Tax Savings
  • Long term Coverage

Ref. No. KLI/22-23/E-BB/492


- A Consumer Education Initiative series by Kotak Life

Similar Articles

10 Effects of Fast Food on Your Body

How to Transfer Your Health Insurance Cover Without Losing Benefits?

How Much Health Insurance Cover Should You Opt For?

Everything You Need to Know About Accidental Insurance Policy

Why Your Health Insurance Cover Could be Insufficient?

Types of Health Insurance You Must Know About

How To Choose A Good Health Insurance Plan?

The Importance of a Health Insurance Claim Ratio

Tax Benefits on Health Insurance Plans

Which One is Better: Mediclaim or Health Insurance?

How Is Your Health Insurance Premium Affected By Age?

A Millennial’s Guide to Buying Health Insurance

What is International Health Insurance? Meaning, Importance and Benefits

Buying Health Insurance with A Pre-Existing Illness? Things You Should Know

Why Opting for Short Term Health Insurance Plans is a Wise Idea?

Why do Patients with Hypertension Need Health Insurance?

What is the Difference Between a Mediclaim Policy, Health Insurance and Term Insurance?

How wellness benefits can help reduce your health insurance premium

Why You Need to Know About the Critical Illness Plan?

What is the Persistency Ratio and Why Does it Matter to the Health Insurance Sector?

What are the Documents Required for Buying a Health Insurance Plan?

Why You Must Disclose Your Pre-Existing Conditions While Buying Health Insurance?

What Is the Restoration Benefit in Health Insurance Plan?

Health Insurance for Students Who Study Abroad

What are Health Insurance Premiums? How are they Calculated?

7 Things to Audit in Your Health Insurance Plan

Benefits of Health Insurance You May Not Know About

How to Choose a Right Health Insurance Plan?

Health Insurance for Liver: What You Should Know About the Symptoms and Diagnosis of Liver Problems

What is OPD Cover in Health Insurance?

Steps to Appeal A Health Insurance Claim Denial

Saving Tax on Your Health Insurance

Is Health Insurance Non-taxable?

What is Telemedicine? How to Seek Medical Treatment Remotely?

5 things to consider while renewing a health insurance policy

Is Cataract Surgery Covered under Health Insurance in India?

6 Common Myths about Health Insurance

Does Critical Illness Insurance Cover Stroke?

10 Preventative Measures for Diabetes

Health Insurance Plan for Cancer: What You Should Know on Symptoms and Diagnosis of Cancer

How Much Of Health Insurance Is Tax Deductible?

Choosing Health Insurance for Senior Citizens

Are You Covered for the Home Treatment Cost Under Your Health Insurance Policy?

Rashtriya Swasthya Bima Yojana: Eligibility, Coverage, Benefits

Is Health Insurance the Same as Medical Insurance?

What Is the Restoration Benefit in Health Insurance?

Critical Illness Can Disrupt Family's Financial Goals and How Health Insurance Can be Useful

What Medical Expenses Can You Claim in Health Insurance Plans?

Section 80D: Everything You Need to About Income Tax Deduction for Medical Expenditure

Health Insurance Plan for Heart – What you Should Know on Symptoms and Diagnosis of Heart-Related Disease?

Health Insurance with or Without Medical Tests? Which is Better

5 Reasons to Own Both Health Insurance and Term Insurance

Critical Illness Insurance for Alzheimer's Disease

How do I Choose a good Health Insurance Plan?

Factors to Consider While Choosing a Health Insurance Plan for Your Parents

List of Critical Illnesses Covered in Health and Life Insurance Plans

Stress and Heart Health: 4 Things You Should Know

All You Need To Know About No-Claim Bonus In Health Insurance

Why You Must Review Your Health Insurance Policy/ Plan Every Year?

How to Buy ₹1 Crore Life Insurance Policy Without Medical Test?

What do Health Insurance Plans Cover?

Why is Cardiac Care Plan a boon for Heart Patients?

5 Reasons to Consider Investing in Health Care

Health Insurance for Brain Tumour: What You Should Know on Symptoms & Diagnosis of Brain Tumour

What is Health Insurance and Why do You Need it?

How Much Should I be Paying for Health Insurance?

Everything You Need to Know About the Ayushman Bharat Health Insurance Scheme

5 Reasons to Buy Health Insurance in 2021

What Does Health Insurance Not Cover?

Health Insurance Plans for a Pre Existing Condition

What is Disability Insurance?

How to Switch to A Different Health Insurance Company?

Health Insurance Plan for Family

What is Single Premium in Health Insurance?

How is Health Insurance Cost Calculated?

Key Factors that Decide Your Eligibility for Buying Health Insurance Plans

Key Difference between Health Insurance and Mediclaim Policy

Seven Preventive Measures for Heart Related Illness

Healthy Habits to Avoid Falling Sick During Monsoon

Which Health Insurance Plans Cover Your Family Members?

7 Reason Why Should You Buy a Health Insurance Plan in Your 20s?

Health Insurance for Personal Accidents

Why Should You Opt for Cancer Insurance?

Why You Must Review Your Health Insurance Plan Every Year

Health Insurance Coverage for HIV Patients

Heart and Cancer Insurance

How to File Health Insurance Claims?

Things to keep in mind before buying a health insurance plan for diabetics

Basics of Health Insurance

What is the Right Age to Buy Health Insurance Policy?

Top Five Institutes for Free Cancer Treatments in India

Why You Must Disclose Your Pre-Existing Conditions When You Buy Health Insurance

Guide on Fraudulent Health Insurance Claims in India

Tips to Reduce Your Health Insurance Premium

Health Insurance Coverage: Day Care Treatment Vs OPD Treatment

Do Add-On For Health Insurance Policies Really Add Value?

Difference Between Open Heart and Bypass Surgery

Protect Your Family with Health Insurance Today

How Your Eating Habits Affect Your Health & How to Change Them