Insurance is the foundation of financial planning—it protects everything you've built. Here's how to choose the right coverage for your family
Life Insurance: Protect Your Family's Future
Term Insurance
Pure protection at lowest cost. Recommended for everyone with dependents
- Coverage 10-20 times annual incom
- Duration Until retirement (age 60-65
- Cost ₹500-15 for ₹1 crore cover
ULIPs & Endowment
Combine insurance with investment. Consider only after adequate term cover is in place
Health Insurance: Medical Emergency Shield
Individual vs Family Floater
For families, a floater is cost-effective. For parents above 50, individual policies are often better
How Much Coverage
- Metros: Minimum ₹10-15 lakh per adult
- Consider super top-up for higher coverage at lower cost
- Senior citizen parents: ₹10 lakh with co-pay if needed
Key Features to Look For
- No room rent limits
- Wide hospital network
- Pre-existing disease coverage
- Annual health check-ups
Critical Illness Cover
Pays lump sum on diagnosis of major illnesses like cancer, heart attack, stroke. Essential as a supplement to health insurance
When to Buy Insuranc
- Life insurance: As soon as you have dependent
- Health insurance: Immediately (premiums increase with age
- Annual review is essential
Common Mistakes to Avoi
- Buying investment-linked policies first
- Underinsurance (covering too little
- Hiding health conditions (leads to claim rejection
- Delaying purchase (higher premiums later
Creative Wealth Tea
Helping families protect their financial future with the right insurance coverage