Can a tenant buy separate home insurance for the overall flat?
—Name withheld on request.Insurance can be bought only if you have an insurable interest. This means that you should suffer a loss should the property be damaged. As a tenant, you have an insurable interest in the contents of the house but not on the structure.
The structure is owned by the landlord. Only the owner of the property can buy insurance for the structure. RWAs represent a group of owners, so even they can buy the insurance.
However, a tenant can buy home insurance only for the contents of the house. It is possible for you to buy standalone home insurance to cover only the contents. The same should be clearly specified in the policy.—Name withheld on request.Medical costs have increased substantially over the years.
Additionally, there is an increased incidence of illnesses, both minor and critical. It is now more common to hear cases of extended hospitalization due to complications driven by multiorgan issues with unclear diagnosis and prognosis. Such a scenario has dismissed the erstwhile assumptions about decent levels of health insurance.Often, people just look at the absolute amount of coverage in isolation and assess its adequacy.
This amount is driven by heuristics and could vary between from ₹5 lakh to ₹20 lakh. Medical costs, however, are linked a lot to lifestyle. The incidence rate of chronic illness and the cost of treatment varies substantially by lifestyle.
That’s why one should decide the sum assured for health insurance holistically.I recommend buying a base sum assured of at least equal to one’s annual income. Further, the health plan should allow you to accumulate substantial no-claim bonus—100% or more. Over a few years, the aggregate coverage for you would be equal to twice your annual
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