Need advice for insurance
I'm 32 years old with two kids, and I’m planning to take both health insurance and term insurance for financial security. What should be the ideal cover amount at this stage, and which insurance providers do you recommend? Also curious to know what policies others here are currently holding
I am 39. Have one kid. Term Insurance:
Here’s how you can calculate it. Think at any given point from now on, if you’re not there, what would be the amount required for your family to live life nicely, which would be kids education, kids marriage, any pending loans, monthly recurring expenses which would include EMIs, utility bills, food, grocery, etc. You will need to do a progressive calculation to get the number. For me it came at 2 Cr and I took that plan. One mistake which I did and you shouldn’t do would be to increase the age till when the insurance should be covered. I had put 60 yrs, but it’s available till 75 yrs. So, my cover ends when I attain 60 yrs.
As for life insurance, have a decent coverage of 10-15 lakhs and put an add-on on top of it which can cover Upto 50 lakhs or maybe more.
Check the latest IRDAI ratings of insurers as well as history for the last 10 years. Probably avoid new comers even if they have a good rating. You can select any of the top 3 insurers.
Also, pls dont look at blanket ranking, but instead ranking for specifics.
For eg., if you’re looking for health insurance, only check health insurance rankings. There are blanket(overall) rankings also which may not justify the rating.
