I am 38 years old and a father of two (8 Yrs and 14 Yrs). I want to buy a health insurance plan. Considering the Covid scenario and increased medical expenses, I want to get a decent insurance coverage for my family for the best possible price. Kindly guide the best way to get that.
First of all you are making the right move, though if you had bought the health insurance earlier it would have cost a little cheaper. In order to get the higher sum assured at low cost at this age we suggest you the following options:
Manipal Cigna Pro-Health Protect plan
Sum Insured – 10 lacs
Premium – ₹– 25,749/-
Super top-up plan with deductible of 10 lakh
Sum Insured – 30 lakh
Premium – ₹– 2,489/-
Niva Bupa’s “Super Saver combo” of “Reassure plan” with SI of 10 Lacs + “Recharge Super Top-up” of 90 lacs @ the lowest possible pricing for a Sum insured of 1Cr. The premium for sum insured of 10 Lacs in Reassure plan: 24,788/- & Premium for SI of 90 Lacs in Recharge super top-up – ₹2,208. Total Premium ₹26,996.
I am 35 years old and working in Private Sector. I have a 6-year-old daughter studying in class 2. My investment is as follows: Mutual Funds SIPs: Rs. 2000 per month in 3 mutual fund schemes since April 2017
SBI Focused Equity
Kotak Equity Opportunities Fund
Kotak Bluechip Fund
NPS: 2000 per month since April 2018.
PPF: Rs. 1500 per month since April 2014.
APY (Atal Pension Yojana): Rs. 640 Per Month contribution till 60 Yrs. It will give me Rs. 5000 per month post-retirement. Health Insurance: HDFC Ergo – Rs. 20 Lacs cover. Life Insurance: ICICI PRU – Rs. 1 Crore cover
Let me first congratulate you on your understanding about the importance of financial planning and making investments to secure the future at such an early age. All your traditional investments are going in the right direction i.e., NPS, PPF and also the insurance coverage looks sufficient at this stage. But the existing investments (SIP) in mutual funds would not be sufficient to secure your future goal. We suggest you to increase the monthly contribution (SIP) at regular interval with every increase in your income to create the healthy corpus for your retirement. You can think of rebuilding your MF portfolio across the Large & Mid Cap, Flexi Cap, Mid Cap and Value Categories of equity. Suggested funds are ICICI Pru Large & Mid Cap, Parag Parikh Flexi Cap, Kotak Emerging Equities and SBI Contra Fund. This way your portfolio will be diversified across the categories and AMCs. It is also be advisable to review your portfolio at least once in a year.
Queries answered by Sanjiv Bajaj, joint Chairman and MD of Bajaj Capital. Queries and views at firstname.lastname@example.org