Buying Health Insurance: For Myself Only

Buying your first individual health insurance plan is one of the best financial decisions you can make. Here's exactly what to look for.

How much cover do you need?

The old thumb rule of ₹3–5 lakh is outdated. A single serious illness at a private hospital in a metro can easily cost ₹8–15 lakh. The recommended minimum:

Non-negotiable features for an individual plan

• ✅ No room rent limit or single private AC room allowed
• ✅ No co-payment (especially important if you're under 60)
• ✅ No disease sub-limits
• ✅ Restoration benefit — at least once per year
• ✅ Pre and post-hospitalisation — at least 60/90 days
• ✅ Day care procedures — at least 300+ listed
• ✅ Lifetime renewability — no age at which the policy can be cancelled
• ✅ No Claim Bonus — at least 10% per year

Optional but valuable features

• OPD coverage (doctor visits without hospitalisation)
• Mental health cover (IRDAI has mandated this, but check)
• Inflation protection / super top-up options
• Maternity cover (2–4 year waiting period, plan ahead)

What about the premium?

For a healthy 25–35 year old, a ₹10 lakh individual plan from a reputable insurer costs ₹7,000–14,000/year. Don't optimise for the cheapest premium — optimise for the best features at a reasonable price.

Which insurer should I choose?

Check the Claim Settlement Ratio (CSR) from IRDAI's annual report. Look for health insurers with CSR above 90% for retail policies. Also check the number of network hospitals in your city.

Next steps

• Use our 12-point buying checklist before you purchase
• Compare top plans at our comparison table
• Understand your Section 80D tax benefit