My wife and I are both in our late 30s, and we don’t have children. My job gives us a family floater policy of ₹ 5 lakh, and a ₹ 3 lakh floater for my parents, both in their mid-70s. The policy allows room rent of a single AC standard room or ₹ 7,000, whichever is lower, and covers pre-existing conditions. My parents also have individual covers of ₹ 2 lakh each, at significant expense. We feel we are under-insured, and wish to buy family floater of about ₹15-20 lakh covering all four of us. Is that enough? Will a single policy be good for all of us, or should we take two separate floater policies?—Prateek
The right amount of coverage depends on your lifestyle and medical history. Since the cost of treatment varies substantially by choice of hospital, the sum insured should be appropriately defined. A thumb rule is to take cover equal to annual income.
