A family floater policy is issued with a single sum insured covering number of individuals of the same family. Simply put, it is a one premium and one policy for all members of the family. The cover can be used by any member of the family any number of times, limited to the sum insured.
For example, there are four members in your family – you, your spouse and your two children. You purchase a floater policy with a sum insured of ₹5,00,000. This means that if you fall sick and utilize ₹2,00,000 in treatment- the balance ₹3,00,000 can be utilized by any member of the family including you.