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Section 80D Tax Deduction: Health Insurance Premiums in India

Section 80D of the Income Tax Act, 1961

Allows deduction for health insurance premiums and preventive health check‑ups for self, family, and parents.

Deduction Limits (FY 2023–24 / AY 2024–25)

CategoryAge < 60Age ≥ 60 (Senior Citizen)
Self, Spouse, Dependent Children₹25,000₹50,000
Parents₹25,000₹50,000
Preventive Health Check‑up (within above limits)₹5,000₹5,000

Maximum Combined Deduction

  • Self + family (all <60) + parents (<60): ₹50,000
  • Self + family (<60) + parents (≥60): ₹75,000
  • Self + family (≥60) + parents (≥60): ₹1,00,000

Eligibility Conditions

  • Policy from IRDAI‑registered insurer.
  • Premium paid via non‑cash mode (bank transfer, card, cheque, UPI) – cash not allowed.
  • Paid during the financial year (Apr 1 – Mar 31).
  • Receipts / policy document retained for verification.

What’s NOT Covered

  • Employer‑paid group health premiums (no double benefit).
  • Life insurance riders (critical illness riders may qualify if separate premium identifiable).
  • Medical expenses paid out‑of‑pocket (those fall under 80DDB for specified diseases).

Pro Tip

Pay parents' premiums separately (not clubbed with family floater) to maximize their senior‑citizen limit if they are ≥60.

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