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Sanjib

Sanjib Jha  | Answer  |Ask -

Insurance Expert - Answered on Sep 08, 2022

Sanjib Jha is the CEO of Coverfox Insurance. His expertise includes health and auto insurance. He has over 22 years of experience in the financial sector. He has completed his post-graduation from the Institute of Company Secretaries of India.... more
Narayan Question by Narayan on Sep 08, 2022Hindi
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I have a health insurance policy, running continued from 2012 without any claim up to 2022. In 2021, I ported it to another company.

Unfortunately, this year in April my son was diagnosed with Crohn's disease and required repeated hospitalisation. Expenses were taken care of by the insurance company. Now my doubts are:

1. My son is advised to have an injection every 8 weeks continuously for next 2 years. This is expensive and will be done in PICU as a day-care procedure. It might take 10 to 12 hours for the procedure, to be done in PICU (He is 14 years old). How I can get these expenses covered by my insurance.

2. Is there any limit on number of claims, in a year, as I already have many this year?

Is there any possibility, that my insurance company might deny the next renewal due to more number of claims?

Ans: Hi Narayan, my best wishes to you and your family. To answer your questions, if your policy has Day Care treatment included in the policy document, then the same can be claimed for. There is no limit to the number of claims taken in a year. However, you can only apply for claims only up to the sum assured value of your health policy.

As far as insurer denying renewal due to number of claims, the answer is no, insurer will not deny your renewal. However, there is a possibility that the insurer will increase your yearly premium based on the re-evaluated risk.

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.
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Sanjib

Sanjib Jha  | Answer  |Ask -

Insurance Expert - Answered on Oct 12, 2022

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 I am an employee of central govt. PSU. My family consists of myself, spouse, two minor children and mother. I am covered by a corporate group medical insurance policy for Rs 2 lakh with an additional emergency coverage of Rs 4 lakh by the employer. I also have a personal Family Floater policy for Rs 3 lakh and a Sr. Ctzn. Policy for Rs 1 lakh. I have not used the personal policies till date for any hospitalisation claim. I am aware that a claim exceeding the corporate policy limit can be claimed in the personal policy. Recently I was made to know that any planned hospitalisation exceeding the corporate claim limit, cannot be done using the second policy. I also know that there is a product called as top up policy which can be used in such cases. I have 8 years of remaining service where there is a medical insurance cover during the period. After retirement, the employer provides a basic policy of 1.5 lakh for the family. The same feels to be insufficient in today’s times. What would be your advice with regards to the existing medical insurance policies and their amounts? Should I need to undertake any tweaking of the policy amounts or switch to a top up policy?
Ans: Hi Pradeep, yours is a legit concern. It would be best if you take advice from a professional person or company – having the necessary qualifications -- after discussing your issue with them.

Insurance is each to its own. Depending on your concerns and requirements a professional service provider will be able to give you the best advice, whether to tweak policy amount or switch to top up.

..Read more

Ramalingam

Ramalingam Kalirajan  |10031 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 11, 2024

Asked by Anonymous - Jun 24, 2024Hindi
Money
Hello sir, my age is 40 yrs currently unmarried. Recently, I had to undergo a renal transplant surgery since I was suffering from AKD (Acute Kidney Disorder) in Bangalore. I was on dialysis for last one and half yrs and moved to bangalore just for the surgery. It went well and now I am on the road to recovery.We had a health insurance policy by manipal cigna company (medi-assist) which ensured that every expenses was met through reimbursement like dialysis expenses, OPD chgs, pharmacy bills etc. We were satisfied with the services of the health insurance provider. My question here is that can I take any more health insurance policy now (may be from a different company) for my future medical expenses which might occur in future (considering I am pretty young right now and single too). What premium do I need to pay for that? Will it be increased premium or the same normal premium. I might not use the health cover for my renal disease now but as a safeguard for the future diseases which may come up.(considering I will get married and have a family too in future). Will my kidney surgery have any impact on the future health cover or not? Kindly advise.
Ans: I'm glad to hear your surgery went well, and you're on the road to recovery. Considering your situation, it’s important to secure your health insurance needs for the future. Let’s break down your questions and concerns regarding taking an additional health insurance policy.

Can You Take Another Health Insurance Policy?
Yes, you can take another health insurance policy from a different company. However, your recent medical history, including the renal transplant surgery, will impact your new policy's terms and premiums.

Impact of Renal Transplant on New Policy
Pre-Existing Conditions: Your kidney surgery will be considered a pre-existing condition. Most insurers have a waiting period for covering pre-existing conditions, ranging from two to four years. It’s crucial to check the specifics with any new insurer.

Medical Underwriting: Given your recent medical history, the insurer may require detailed medical underwriting. They may request your medical records and possibly a medical examination to assess your current health status.

Premium Considerations
Increased Premiums: Due to your pre-existing condition, new health insurance policies are likely to come with increased premiums. The exact amount will depend on the insurer's assessment of your health risk.

Loading Charges: Some insurers might add a loading charge to your premium, which is an additional cost to cover the higher risk associated with your medical history.

Types of Policies to Consider
Individual Health Plans: These provide coverage for a single person. Given your situation, ensure the plan offers extensive coverage, including post-operative care and critical illness coverage.

Family Floater Plans: These plans cover multiple family members under a single sum insured. They might be a good option if you plan to get married and start a family in the near future.

Critical Illness Plans: These plans provide a lump sum amount upon diagnosis of specified critical illnesses, including kidney-related issues. It can be a supplementary policy to your primary health insurance.

Steps to Take
Research and Compare: Compare policies from different insurers. Look for policies with comprehensive coverage and a reasonable waiting period for pre-existing conditions.

Consult Insurers: Speak directly with insurance representatives. Explain your medical history and get clear information on how it will affect your premiums and coverage.

Read Policy Documents: Carefully read the policy documents, especially the sections on pre-existing conditions, waiting periods, exclusions, and premium loading.

Consider Riders: Look for riders or add-ons that can enhance your coverage, such as critical illness riders, hospital cash, and personal accident covers.

Consulting a Certified Financial Planner
Given the complexities of your medical history and future health needs, consulting with a Certified Financial Planner (CFP) can be very beneficial. A CFP can help you understand the nuances of different policies, assess your long-term financial needs, and recommend the best health insurance options tailored to your situation.


You’ve shown great foresight in considering additional health insurance despite your recent surgery. Ensuring your future medical needs are covered demonstrates a strong commitment to your long-term well-being. Your proactive approach to securing your health is commendable and shows a responsible attitude towards managing potential future risks.

Final Insights
Securing an additional health insurance policy is a wise move, especially considering your recent medical history and future plans. While premiums might be higher due to your pre-existing condition, thorough research and consulting with professionals can help you find the best policy for your needs. Remember to compare different plans, understand the terms, and choose a policy that offers comprehensive coverage and aligns with your financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

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Nayagam P

Nayagam P P  |9775 Answers  |Ask -

Career Counsellor - Answered on Aug 01, 2025

Asked by Anonymous - Aug 01, 2025Hindi
Career
Sir what should my daughter consider iiit sri city cse or bit mesra cse?
Ans: Already answered. Anyway, please note, IIIT Sri City’s CSE program records a 93.6% placement rate in 2025, engaging leading recruiters such as Amazon and Google, while Birla Institute of Technology Mesra’s CSE branch averaged 75–84% placements over the past two years. IIIT’s compact 15 air-conditioned classrooms, dedicated research centres, and seamless on-campus hostel model support immersive learning, complemented by faculty clusters organized by research groups and early internship opportunities. BIT Mesra offers extensive infrastructure with over 65 specialized labs, a central CAD facility, and a vast library housing 1.5 lakh volumes, backed by PhD-qualified faculty, notable international collaborations, and strong alumni mentorship. Both institutes maintain robust industry interface via structured placement cells and internship pipelines, yet IIIT’s leaner student-to-faculty ratio fosters personalized mentorship and rapid curriculum updates, whereas BIT Mesra’s legacy amplifies research depth and campus diversity.

Recommendation: IIIT Sri City stands out for its higher placement consistency, focused research groups, and agile infrastructure, making it the preferable choice for CSE; BIT Mesra remains an excellent alternative for those prioritizing broader research and legacy campus ecosystem. All the BEST for a Prosperous Future!

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Ramalingam

Ramalingam Kalirajan  |10031 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 01, 2025

Asked by Anonymous - Jul 13, 2025Hindi
Money
I am 42 yr old. Have rental income 1.2 lakhs per month. I have dept of 26 lakhs as home loan. 15 L in MF, 14 L in PPF, 5 acre land which is giving 1 L per year. Epf 35 L. I want to generate 2.5 L per month after 8 yeats and retired. I can sabe 1L per month during this 8 years. Please suggest how can i target 2.5 l per month after 8 years.
Ans: You have built a very solid base. Regular income, assets, EPF, and savings ability are strong. Your clarity on retirement at 50 and income target is very helpful. That’s a very realistic and reachable target with careful planning.

Let us now evaluate and structure your plan in a 360-degree view.

» Monthly Income and Debt

– You earn Rs.1.2 lakh monthly from rent
– Your home loan outstanding is Rs.26 lakh
– Check your loan interest rate.
– If high, you may try to refinance or prepay partly
– Don’t rush to close the loan. Low-cost loans can stay longer
– Instead, invest your savings for higher growth over 8 years
– Let your investment returns beat the loan rate gradually

» Existing Mutual Fund Investments

– You have Rs.15 lakh in mutual funds
– Keep them invested. Don’t redeem early
– Review your fund quality with a Certified Financial Planner
– Stay invested in regular mutual funds via MFD under CFP guidance
– Don’t go for direct mutual funds
– Direct plans miss professional review, tracking, and course correction
– Regular plan with CFP support gives strategy, timing, and goal focus
– Use a diversified mix of equity and balanced mutual funds
– Rebalance yearly with your CFP to match risk and goals

» Avoid Index Funds

– Index funds are passive and follow the market
– They don’t protect your downside in bad markets
– No fund manager means no active planning
– They also don’t suit near retirement phase
– Your goals need better control and tailored returns
– Choose only actively managed mutual funds with CFP support
– Active funds adjust portfolio based on markets, economy, and valuations

» PPF and EPF Holdings

– PPF balance is Rs.14 lakh
– EPF is Rs.35 lakh, which is substantial
– PPF will mature once 15 years complete
– These give fixed but limited returns
– Don’t increase exposure here further
– Returns won’t beat inflation in long term
– Keep them for safety but don’t rely on them fully

» Agricultural Land

– You have 5 acres giving Rs.1 lakh annually
– Keep land for emotional or family reasons if needed
– Don’t depend on it for main retirement income
– Returns from land are low and inconsistent
– It lacks liquidity and is hard to monetise quickly
– Real estate value appreciation is unpredictable
– Avoid further land buying or development for income

» Debt Repayment Plan

– Your home loan is Rs.26 lakh
– Avoid full prepayment now unless interest is above 9%
– If loan is affordable, focus more on investing
– Use EMI benefits for tax reduction till 60
– If surplus is available, part prepay 10%-15% once in 2-3 years
– Use windfalls or bonus income to reduce principal slowly
– Don’t use mutual fund corpus to repay loan now

» Monthly Saving Ability

– You can save Rs.1 lakh monthly for next 8 years
– This is a big strength
– With this discipline, you can create strong wealth
– Begin SIPs in 5-6 good mutual funds via regular plan
– Allocate major part to equity mutual funds
– Keep some in balanced or dynamic funds
– Increase SIPs by 10% every year if possible
– Top-up SIPs help combat inflation

» Asset Allocation Strategy

– You already have EPF and PPF as safe options
– New monthly SIPs should target higher equity exposure
– Around 70%-80% in equity funds and balance in hybrid funds
– This will help wealth compound better in 8 years
– Too much safety will reduce your returns
– Your CFP can adjust allocation yearly as you approach age 50

» Target Retirement Income Plan

– Your goal is Rs.2.5 lakh monthly income after 8 years
– That’s about Rs.30 lakh per year
– After retirement, you can withdraw from mutual funds smartly
– Systematic Withdrawal Plan (SWP) can help generate monthly cash flow
– Equity mutual funds give better post-tax income via SWP
– After age 50, shift part of equity to hybrid and debt funds
– Your CFP will guide reallocation for smoother post-retirement income

– Equity mutual fund SWP taxation:

LTCG above Rs.1.25 lakh taxed at 12.5%

STCG taxed at 20%

– Debt mutual fund SWP:

Taxed as per your income slab

– Plan redemptions after retirement as per tax-efficient withdrawal strategy

» Emergency Fund and Risk Management

– Keep 6 months expenses in liquid mutual funds
– Avoid using PPF or EPF for emergency
– Emergency fund must be quickly accessible
– Refill emergency fund if used anytime
– Also buy pure term life insurance if not already done
– Medical insurance for self and family is also a must
– Don’t depend on employer coverage alone

» Inflation Impact and Income Protection

– Your monthly income target must consider inflation
– Today’s Rs.2.5 lakh may need Rs.3.5 lakh after 8 years
– Invest aggressively for now, and then shift gradually to safety
– Don’t chase short-term performance
– Long-term investing gives more stable wealth
– Stay disciplined and let compounding work

» Avoid Insurance Investment Products

– Don’t buy ULIPs or endowment plans for retirement
– They offer poor return, low flexibility
– Only term plan is needed for protection
– If you already hold ULIPs or endowment, consider surrendering
– Reinvest surrender value into equity mutual funds
– Insurance and investment must stay separate

» Review and Monitor Annually

– Track fund performance every 12 months
– Don’t make frequent changes
– Review goals, income, and fund health with CFP
– Make changes slowly and logically
– Emotional investing can damage long-term outcomes
– Avoid timing the market or reacting to noise

» Income Streams After Retirement

– Your rental income of Rs.1.2 lakh can continue after retirement
– With SWP from mutual funds, aim to generate another Rs.1.3 lakh
– EPF can give lump sum support if kept untouched till 50
– Avoid withdrawing EPF now
– Use it post-retirement gradually if needed
– Don’t buy pension plans or annuities for income

» Will and Nomination Planning

– Prepare a proper Will before age 50
– Add nominations in all MF, PPF, EPF, and bank accounts
– Land should also be clearly documented and inherited properly
– This helps your family in smooth asset transfer
– Review nominations every 3-4 years

» Final Insights

– You are in strong financial health
– Continue Rs.1 lakh savings with discipline
– Avoid property investments or insurance-based products
– Focus on equity mutual funds through regular plan with CFP
– Track every year and take help to rebalance if needed
– Don’t disturb EPF or PPF till retirement
– Rental income + mutual fund SWP can meet your income goals
– Target asset value, not just monthly income

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

...Read more

Ramalingam

Ramalingam Kalirajan  |10031 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 01, 2025

Asked by Anonymous - Jul 13, 2025Hindi
Money
43yr, 7-8 lac per month. Plan to work till 60yr. One child6 yrs. SIP in MF 1.2 lac since 1 yr. Ppf maturing next year. Life insurance 2 cr. 2 house, few plots. Kindly advice how to invest my fund for maximum benifit in long term
Ans: You have already taken wise steps. Investing through SIP, having life cover, and PPF maturity next year show good discipline. Your income level gives strong potential for long-term wealth. With right planning, your goals can be met peacefully.

Let us structure the answer with a complete 360-degree assessment.

? Income and Savings Potential

– Monthly income of Rs.7-8 lakhs gives excellent saving ability
– Maintain at least 30%-40% of your income as regular investments
– Your current SIP of Rs.1.2 lakh per month is a good beginning
– There is room to gradually increase this by 10%-15% every year
– Avoid lifestyle inflation. Save first, then spend

? Existing SIP in Mutual Funds

– Continue SIPs in actively managed mutual funds through a Certified Financial Planner
– Don’t shift to direct mutual funds.
– Direct funds may look cheaper. But guidance is missing.
– Without CFP’s supervision, there is risk of poor fund selection
– Regular plan with CFP and MFD gives handholding, reviews, and corrections
– Professional advice helps in fund curation and rebalancing
– Regular plans can also help avoid emotional investing errors
– Don’t stop SIPs in correction phases. That’s when most wealth gets built

? Stay Away from Index Funds

– Index funds have low cost, but very little active strategy
– They mirror the market. They don’t protect from market falls
– No downside protection, no active reallocation in tough times
– Index funds lack fund manager’s expertise and judgment
– Active funds can outperform in sideways or volatile markets
– Stick to actively managed funds that are reviewed by your CFP

? PPF Maturity Next Year

– PPF maturity should be reinvested wisely
– Don't spend it unless it is for a goal
– Reinvest in long-term equity mutual funds via regular plan
– Discuss asset allocation with your CFP before reinvestment
– Avoid putting into fixed deposits or insurance-based schemes
– Consider staggering this lump sum in equity via STP over 12-18 months

? Life Insurance Cover – Review Needed

– Rs.2 crore cover is good. But may not be enough now
– With Rs.8 lakh income and child’s future expenses, a review is needed
– Ideally, have a cover of 15-20 times of annual income
– Go only for pure term insurance. No ULIPs or investment-based plans
– If you hold any ULIPs or endowment plans, consider surrendering
– Reinvest surrender proceeds in mutual funds after discussion with CFP
– Review your insurance every 3-4 years or at major life events

? Property and Plots – Use Caution

– You already own two houses and plots
– No need to invest more into property
– Real estate lacks liquidity, rental yield is low
– Hard to exit, especially during emergencies
– Avoid locking more capital into additional plots or flats
– Instead, use surplus funds to invest in financial assets

? Planning for Child’s Future

– Your child is 6 years old now
– You have around 12 years for college planning
– Continue SIPs in child-specific long-term equity mutual funds
– Target higher education corpus using aggressive asset allocation
– Use separate folio for this goal to track easily
– Don’t mix this with retirement goal investments

? Retirement Planning – 17 Years to Prepare

– You plan to retire at 60. That gives 17 years
– Increase SIPs every year as income rises
– Allocate funds to a mix of equity and hybrid funds
– Don’t rely on property rent or inheritance
– Plan assuming self-dependence post-retirement
– Discuss retirement corpus estimation with your CFP
– Use goal-based planning to build retirement bucket separately

? Emergency Fund and Liquidity

– Keep at least 6-8 months of expenses in liquid mutual funds
– Don’t keep too much in savings account
– Use low-duration or overnight mutual funds for emergency buffer
– Review and replenish emergency fund after usage
– Emergency fund must be kept liquid, not in FD or real estate

? Tax Planning and Fund Selection

– Avoid investing only for tax-saving
– Let your investment be goal-oriented, not just tax-saving
– Choose ELSS under regular plan with guidance of CFP
– Diversify between equity, balanced advantage, and flexi-cap funds
– Understand the new mutual fund tax rules while exiting funds

– For equity mutual funds:

LTCG above Rs.1.25 lakh taxed at 12.5%

STCG taxed at 20%

– For debt mutual funds:

Taxed as per your income slab for both STCG and LTCG

– Plan redemptions wisely with help of a CFP to reduce taxes

? Avoid Insurance-Based Investments

– Don’t mix insurance and investment
– ULIPs, endowment plans give low return and low flexibility
– If you hold such policies, check surrender values
– Surrender and switch to mutual funds after careful review
– Use pure term plan for life cover. Invest rest separately

? Annual Portfolio Review – A Must

– Investment journey needs regular tracking
– Once a year, do complete review with your CFP
– Remove underperforming funds, reallocate as per goal progress
– Adjust SIPs based on changed income or family needs
– Portfolio rebalancing keeps risk in control and improves returns

? Wealth Transfer and Estate Planning

– Prepare a Will to ensure smooth succession
– Mention nominations in mutual funds and bank accounts
– If plots are held, register them properly with clear documents
– Don’t ignore succession planning. It avoids family disputes later
– Also assign Power of Attorney to trusted person, if needed

? Behavioral Discipline – Most Important

– Avoid chasing hot funds or short-term trends
– Market timing doesn’t work. Stay invested for long-term
– Never pause SIPs due to market fear or noise
– Focus on your own goals, not others’ portfolio
– Long-term wealth needs patience and consistency
– Trust your financial planner and stick to the plan

? How to Scale Your Investment Strategy

– Increase SIPs by 10%-15% every year
– Use bonuses and windfalls for lump sum investments
– Diversify across 5-6 good equity mutual funds
– Don’t exceed 7-8 funds, else tracking becomes difficult
– Split investments by goals – child, retirement, emergency, etc.
– Take help from CFP to monitor each goal’s progress

? Checklist for 360-Degree Plan

– Monthly SIPs: On track, but scope to increase
– Life cover: Review and upgrade to 15-20x annual income
– Real estate: Avoid further investments, no liquidity
– Child’s education: Build separate corpus via SIP
– Retirement: Plan with 17-year horizon, increase SIPs annually
– PPF: Reinvest on maturity, via STP in mutual funds
– Tax planning: Use ELSS and goal-based planning
– Emergency fund: Maintain liquidity for 6-8 months expenses
– Estate planning: Prepare Will and ensure nominations

? Final Insights

– You are already ahead with your savings mindset
– Keep emotions away from investing decisions
– With the right review and planning, you can retire peacefully
– Continue SIPs, add more as income increases
– Stay invested in regular mutual funds under guidance of CFP
– Avoid real estate and insurance-based investments now
– Track your goals every year. Small corrections give big impact later

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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