Section 80D of the Income Tax Act, 1961 provides tax deductions for health insurance premiums paid for yourself and your family. These deductions reduce your taxable income and help you save money while staying financially protected against medical emergencies.
Who Can Claim Tax Benefits Under Section 80D?
Any individual or Hindu Undivided Family (HUF) paying health insurance premiums for the following members is eligible:
- Self
- Spouse
- Dependent children
- Parents (whether dependent or not)
The policy must be in the name of the taxpayer or family members listed above, and the premium must be paid via non-cash methods.
Tax Deduction Limits Under Section 80D (FY 2024-25)
| Category |
Deduction Limit (₹) |
| Self, spouse, and children |
25,000 |
| Parents (below 60 years) |
25,000 |
| Parents (above 60 years) |
50,000 |
| Self and parents (both above 60) |
100,000 |
| Preventive health check-ups |
5,000 (within limits) |
The ₹5,000 limit for preventive health check-ups is included within the overall limit and not additional.
Additional 80D Benefits to Know
- Premiums paid for critical illness riders or top-up health plans also qualify
- Multiple policies can be claimed if all members are covered separately
- HUFs can claim for members under one policy
- Premiums paid for siblings or in-laws are not eligible
How to Claim the 80D Deduction
- Buy a qualifying health insurance plan
- Keep the premium payment receipt and policy copy
- File your Income Tax Return (ITR) and declare the premium under Section 80D
- No extra form is required - just documentation for proof
Can You Claim Both 80C and 80D?
Yes. Section 80C covers life insurance, ELSS, and PPF. Section 80D is exclusively for health insurance. These are separate deductions and can be claimed together.
Common Mistakes to Avoid
- Paying premium in cash (not eligible)
- Claiming for non-dependent relatives
- Forgetting to include parents' premium during filing
- Not retaining the invoice or policy document
Frequently Asked Questions
Can I claim tax deduction if I pay for my parents’ policy?
Yes, whether they are dependent or not, as long as you are paying and the premium is in their name.
What happens if I miss declaring my premium in the ITR?
You lose the deduction unless you revise your return.
Does group health insurance from my employer qualify?
No, only premiums paid personally are eligible for deduction under Section 80D.
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