Every individual or HUF can claim a deduction from their total income under section 80D for medical insurance premium paid in any given year.
The deduction benefit is available not only for a health insurance plan for self but one can also take the advantage of buying the policy to cover spouse, or your dependent children or parent.
It is over and above the deductions claimed under section 80C.The amount of deduction allowed under section 80D prior to Budget 2015-16 was Rs 15,000 which was then increased to Rs 25,000. In case of senior citizens , the deduction limit was increased from Rs 30,000 to Rs. 50,000.