In the wake of the hike in third-party (TP) auto insurance premiums, to what extent will my current car insurance policy premiums be affected?

Your existing TP policy will be cancelled once you have purchased the new policy. You may get in touch with your current insurer or opt for another one for this new comprehensive motor insurance policy.

Yes, your premiums would increase over time and it depends on age brackets, claim experience and other factors. So, even if you opt for a health insurance plan earlier in life, your premium would go up almost every year or every 5 years, depending on your age, health conditions and other factors.

So, the natural question everyone would have is, why opt for a health insurance plan early? In any case, younger people need to claim their health insurance lesser than older people, right? So, should the younger ones wait to grow old before opting for a good HI plan?

In my opinion, the answer is NO and there are multiple reasons for the same.

a. Is there a guarantee that the young will not fall ill?

With COVID-19 second wave, we have seen that the young needed more hospitalisation than the old.

b. With the rise of lifestyle ailments, diabetes, obesity, digestive concerns and hypertension has taken a leap in the youth of India. Fitness and a healthy lifestyle, which have taken a backseat, need to be focused along with a large comprehensive health plan to tackle the issue.

c. The earlier you opt for a health insurance plan, the lesser likely it would be that you would have any pre-existing ailments. So, your coverage quantum would be higher than if you have any of the pre-existing lifestyle ailments.

d. Since the young usually need lesser hospitalisation than the old, your mandatory and specific waiting periods would be over before you actually need them.

The moral of the story is that you need to opt for a high health insurance plan as early as possible. You can always top it up later.

Ever increasing medical inflation and ongoing deadly infection makes it essential to not only have health insurance but also insurance cover with an adequate sum insured.

The need of a specified sum insured can be optimised by breaking it into two policies. One basic and another top up totalling up to sum insured required by you. This option is recommended rather than having a single policy with higher sum insured.

Please do read the policy terms and conditions for details.