Question 1

What are the health-insurance deduction limits for self, family and parents?

Accepted Answer

Section 126 retains separate limits for self/spouse/dependent children and for parents: ordinarily ₹25,000 per group, increased to ₹50,000 when the relevant insured person is a senior citizen. The combined maximum can reach ₹1,00,000 when both groups qualify for the higher limit. Conditions and eligible payment methods apply.

Question 2

Is a preventive health check-up included in the Section 126 deduction?

Accepted Answer

Eligible preventive health-check payments for self, spouse, dependent children or parents can be included up to ₹5,000 within—not in addition to—the applicable Section 126 group ceilings under the alternative regime. Conditions on the covered person and payment still apply.

Question 3

Is GST charged on individual health-insurance premiums?

Accepted Answer

From 22 September 2025, qualifying individual health-insurance policies—including family-floater and senior-citizen policies—are exempt from GST. Group, employer and other insurance products can have different treatment, so check the policy classification.

Question 4

Is current Section 126 (legacy Section 80D) available under the default regime?

Accepted Answer

No. The personal Section 126 health-insurance deduction is generally relevant under the alternative regime, not the default Section 202 regime.

Question 5

What is No Claim Bonus (NCB) in health insurance policies?

Accepted Answer

No Claim Bonus design is policy-specific: it may increase sum insured, discount renewal premium or apply through another mechanism, with caps and reduction rules. Use the insurer’s policy wording rather than assuming a 10%–50% increase or zero cost.

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Health Cover & Section 126 (Legacy 80D) Estimator

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