Group Health Insurance

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Group health insurance plans are the healthcare benefits offered to the group, company, or all the eligible members of typically a group of employees. Most of the companies offering healthcare benefits for employees also allow them to avail cover for their dependent family members. Such as a spouse, dependent children, and parents. That means a group medical insurance policy is a single policy. Issuing the policy to a group of employees including their dependents sometimes. 

If treated owners of the business as employees, sole proprietorship businesses and partnership businesses with more than one employee also qualify for group medical insurance plans. However, if it’s a family-led business run by husband and wife. Both husband and wife can avail of group health insurance coverage. If the business meets all the requirements as needed to qualify for this insurance. 

Additional Read: How many employees a company should have to buy a Group Health Insurance Policy?

Insurance Eligibility requirements-

Coming to the insurance eligibility requirements, most of the insurance companies offers group mediclaim insurance plans. They will have certain specific rules, terms, and conditions for various types of policies. Your spouse cannot be the one and only employee for the sake of availing group medical insurance benefits. However, if your business has other employees (family members and non-family members both), then you and your spouse can avail the benefits of group health insurance coverage along with the other members of the group or employees of your company. These requirement criteria may vary from one insurance company to another insurance company.

Let’s take an example:

Let’s say you have a sole proprietorship firm with your wife being the only employee of your firm. Then, you would not be able to avail of group health insurance coverage. In case, there are two more people working in your firm (be it a family member or non-family member), you and your wife can avail the policy for employees as a small business in India.

In the case of family businesses, availing of the policy’s coverage for the family members involved in the business can be an ideal option for various reasons.

Some mentioned below –

  • Availing coverage through group health insurance plans lowers your insurance cost as you get the desired coverage with other employees (including both family members and non-family members). Offers Group insurance plans at a lower cost in comparison to individual health insurance plans. Due to risk pooling and the difference in underwriting processes.
  • As a business owner, along with getting the health insurance coverage at an efficient rate, you will also get the tax benefit. On the health insurance benefit offered to employees. Can claim the total premium paid for group medical insurance plans as expenditure by you as a business owner. 

So, yes! Husband and wife can avail of group health insurance plans if they are running a family business. And if the insurance criteria applicable for the ‘’small business’’ is met.