Section 80D of the Income Tax Act lets you claim a deduction for health insurance premiums paid during the financial year. This applies to policies covering yourself, your spouse, dependent children, and parents.

DEDUCTION LIMITS
The basic limit is Rs 25,000 per year for premiums paid towards health insurance for yourself, your spouse, and dependent children. If you or your spouse is a senior citizen (aged 60 or above), this limit goes up to Rs 50,000.

For parents, you get a separate deduction of Rs 25,000. Parents need not be financially dependent on you. If either parent is a senior citizen, the limit increases to Rs 50,000. The maximum combined deduction can reach Rs 1,00,000 if both you and your parents are senior citizens.

PREVENTIVE HEALTH CHECK-UP
You can claim up to Rs 5,000 for preventive health check-up expenses. This is an aggregate cap across all your 80D claims combined (self, family, and parents), included within the overall limit. This is the only component where cash payment is allowed.

MEDICAL EXPENDITURE FOR UNINSURED SENIOR CITIZENS
If any covered person (self, spouse, dependent children, or parents) is a resident senior citizen aged 60 or above and does not have health insurance, you can claim actual medical expenditure up to Rs 50,000 under the applicable limit.

KEY CONDITIONS
All premium payments must be through non-cash modes like bank transfer, UPI, cheque, or card. Contributions to CGHS also qualify under 80D. For multi-year policies, the premium can be claimed proportionately across the years of coverage.

OLD REGIME ONLY
Section 80D is available only under the old tax regime. If you have opted for the new regime under Section 115BAC, you cannot claim this benefit.

PRACTICAL TIP
If your parents are senior citizens without health insurance, paying for their medical expenses yourself gives you up to Rs 50,000 in additional deduction. Combined with your own policy, that is up to Rs 1 lakh off your taxable income under the old regime.