How much health insurance a family needs
Sizing health insurance is where most households either overpay or under-protect. A family floater sized at roughly ten to fifteen times monthly income, with a super top-up stacked on for the catastrophic layer.
The sizing rule
A family floater sized at roughly ten to fifteen times monthly income, with a super top-up stacked on for the catastrophic layer.
Adjusting it for your household
Rules of thumb are starting points. A single-earner family with young children and a home loan needs more than a dual-income household with no dependants. Count what would still have to be paid if the worst happened — EMIs, school fees, living costs — and size the cover against the gap, not against a formula.
Reviewing it as life changes
Marriage, a child, a home loan, a job change, a parent moving in — each of these changes the number. A cover level set once and never revisited is usually wrong within five years.
Where FamTally comes in
FamTally holds every policy the family has — health insurance included — with sum assured, premium, frequency, renewal date and the members it covers. It totals your cover so gaps are obvious, puts premiums into your monthly cashflow, and reminds you ahead of each renewal. Free to use.
Stop doing this in a spreadsheet
FamTally keeps your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and answers questions about your own numbers. Free, and built for Indian families.
Start freeQuestions people ask
What does health insurance cover?
Hospitalisation, day-care procedures and, in most modern policies, pre- and post-hospitalisation costs for a defined window.
How much cover should we take?
A family floater sized at roughly ten to fifteen times monthly income, with a super top-up stacked on for the catastrophic layer.
What happens if it lapses?
Annual, and lapsing even briefly can reset waiting periods for pre-existing conditions — the single most expensive administrative mistake in Indian personal finance.