Short answer – Yes!
Long answer – Why not? You may be single and might as well do without certain types of insurance – which is again a risk but we will discuss that later in this article – but it is a criminal offence to operate without third-party motor insurance, which has been made mandatory by the Motor Vehicles Act of 1961. So yes, at the very least you need third-party motor insurance.
Speaking about other types of insurance, let’s briefly discuss the major categories of insurance to evaluate whether or not you need them.
The ultimate objective of opting for life insurance is to secure the family’s financial future should the life insured pass away unexpectedly or become disabled while the policy is active. But if you’re single, should you still opt for life insurance? Certainly, if you have these financial obligations:
- Education loan
- Other loans – car, home, and so on
- Dependents – parents and younger siblings
- Liability towards business in case of a partnership firm
That said, term insurance (one of the two types of life insurance policies) is very reasonable on the wallet, especially when you’re young. For a premium of INR 3K – 4 K a year, you can opt for an INR 25 – 30 lakhs policy to help your family and friends settle loans like the ones mentioned earlier in case of your untimely demise.
Health insurance can be bought in two variants – individual health plan and family floater. And if you’re single and have no kids, you can still opt for an individual health insurance plan to avoid the unnecessary financial crunch that is often created by a single hospitalization event. At a price of INR 5K – 6K annually (approximate), you can obtain an annual cover of an amount up to INR 5 lakhs or more.
Critical Illness Insurance
The cost of treating a critical illness can run into several lakhs, creating both emotional and financial distress. Even though you may be single, you surely do not want to face a sudden financial downfall resulting from an illness. The same can be eliminated by getting a critical illness policy, which will provide you a lump sum amount to take care of the expenses that you may incur due to the treatment. Generally, these diseases are covered under a critical illness plan:
- First Heart Attack
- Major Organ Transplant
- Primary Pulmonary Hypertension
- Coronary Artery Bypass Surgery
- Kidney Failure
Personal Accident Insurance
A personal accident insurance is a cost-effective policy that provides coverage in the event of injuries, disability, and death resulting from an accident. At a cost of INR 3K – 4K a year, you can avail a cover worth INR 12 – 15 lakhs under a standalone personal accident policy. Having said that, you can also go for a personal accident rider if you’re tight on your budget.
Tragedies can strike any time, and opting for personal accident insurance will be a wise financial decision to make.
This is the kind of insurance policy that you don’t need to pay for all through the year. You can opt for it only when you’re planning on taking a trip.
Basically, a travel insurance policy takes care of the expenses incurred on financial emergencies experienced during your travel. A travel insurance plan will cover the following emergencies:
- Medical treatment
- Lost baggage or passport
- Trip delay or cancellation
- Emergency evacuation
- Plane hijack
Having a valid travel insurance policy is practical because, at a very nominal charge, you get a handsome coverage amount. So, regardless of whether you're married or single, don’t forget to get travel insurance even if the country you’re travelling to has not mandated having one.
Buying an insurance product can be a daunting task and must not be taken without consulting people in the know. So, we recommend that before you sign on the dotted line, talk to the experts and seek suggestions as to which policy you must choose.
OneInsure also provides guidance and assistance in choosing the right insurance policy. Get in touch with us by dropping an email at firstname.lastname@example.org or dial 86559-86559.