Save tax through health insurance policy

[suman]

Hi friends......how can i save tax through health insurance policy in India

[radhikasood]

The sole motive of purchasing a health insurance policy should be risk cover rather than investment benefits. Thus there are no investment benefits attached to medical insurance policy in India except tax benefits.
One can avail following tax benefits under a medical insurance policy,
a) Rebate of Rs 15000 for health insurance premium paid for self and family
b) Rebate of Rs 15000 for health insurance premium paid for parents, Rs 20000 in case the parents are senior citizens. Thus one can avail maximum tax benefits of upto Rs 35000 with a health insurance coverage.