Emergency Fund: The First Step Towards Financial Planning

Queries Vinod Kumar What is the difference between health insurance products having lower premiums and their more expensive counterparts having similar features? Shouldn’t I technically opt for the lower premium one if everything else is the same? Premium is just one of the factors to consider. The other two are product features and claims settlement rates. There are several product features that are marketed, but the two features I would single out for attention are the number of years for which pre-existing health conditions are excluded, and the caps on room rent. Claims settlement rates are available in the insurer’s public disclosures. So, it is possible for an insurer to have long waiting periods and room rent caps, and then offer a low premium. That does not make it the best purchase. Ideally, the way to buy insurance is to create a shortlist of insurers that have...