Insurance Awareness - Health Insurance
Which of the following scenarios best illustrates a disadvantage of Family Floater Health Insurance compared to Individual Health Insurance?
Which of the following scenarios best illustrates a disadvantage of Family Floater Health Insurance compared to Individual Health Insurance?
hard Q9 of Q15
Step-by-Step Solution
Step 1: Analyze Disadvantages of Family Floater
In Family Floater policies, the shared sum insured means if one member uses a large portion for treatment, the remaining coverage for others reduces or becomes zero.Step 2: Evaluate Other Options
Each family member has a separate sum insured that cannot be used by others describes Individual policies, not a disadvantage of Family Floater; Premiums are higher for Family Floater policies than for Individual policies combined is incorrect as Family Floater premiums are generally lower; Family Floater policies do not cover pre-existing diseases is factually wrong as Family Floater covers pre-existing diseases subject to waiting periods.Final Answer:
A family member exhausts the entire sum insured due to a major illness, leaving no coverage for others → Option AQuick Check:
Family member exhausts = correct choice ✅
Quick Trick: Shared sum insured risk in Family Floater.
Common Mistakes:
MISTAKES- Confusing Individual policy features with Family Floater disadvantages.
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