My daughter turned 20 and is a student, with at least 3 years study left. For all practical purposes, she will be having her own business. She is covered with medical insurance provided by my company (under family medical insurance). Should we go for a separate medical insurance for her and if so, for how much and which insurer

Ans: If your daughter is 20, healthy, and essentially self-reliant with years of study (and possibly work or a business) ahead of her, yes — it’s a good idea for her to have her own individual medical/health insurance policy rather than relying solely on your employer’s family cover.

Here’s why it matters:

Your employer’s policy is usually a “family floater,” meaning the total sum insured is shared by all covered members. If someone else in the family needs care, her available coverage can shrink. Having her own policy ensures she always has her own dedicated cover and won’t lose it if she changes location, job, or schooling situation.

How much cover makes sense?

For someone her age and health profile:

Aim for at least ?5 lakh as a starting sum insured. This is enough for most hospital stays and procedures without being costly in premium.

A cover of ?7.5–10 lakh gives extra peace of mind, especially if she lives in a big city with higher medical costs.

You can go higher than ?10 lakh depending on your comfort with premiums and risk tolerance.

What type of policy should it be?

Choose a standard individual health insurance policy under her name. Keep these points in mind when comparing options:

Medical inflation is real, and what seems like a high limit today might feel modest in a few years. Having a healthy cushion gives her flexibility.

Key things to check in any policy (doesn’t matter which brand):

Sum insured: Start with at least ?5–10 lakh.

Cashless hospital network: A wide network near her college or home is very useful.

Pre-existing conditions waiting period: If she has none now, look for plans that start covering complications sooner rather than later.

Day-one cover for common illnesses: Many plans offer immediate cover for standard treatments.

Affordable premium with good claim history: Price matters, but ease of claims matters more.

Tax benefit:
You can claim the premium you pay for her policy as a tax deduction under Section 80D. That softens the cost a bit.

In short, getting her own policy gives her independence, uninterrupted coverage, and a defined sum insured just for her needs. If you want, I can help you estimate what the premiums might be for different cover levels based on her city and age.


Best regards,
Naveenn Kummar, BE, MBA, QPFP
Chief Financial Planner | AMFI Registered MFD
https://members.networkfp.com/member/naveenkumarreddy-vadula-chennai