Rajkumar Anguluri·Software Engineer · Founder, Artha Engine·Last reviewed 25 April 2026·Methodology
Am I Adequately Insured?
See one coverage score for term, health, and critical illness cover — sized against income, dependents, and liabilities, with the biggest gap called out first.
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Am I Adequately Insured?
Size life, health, and critical illness cover from a single place — the headline is one weighted coverage score.
Load a profile
Presets load realistic defaults you can tweak; they don't overwrite anything saved to your profile.
Income replacement assumptions
Underwriting factors
Personal risk profile
Overall coverage score
5.6%
You are critically under-insured
Multiple covers fall well short of the benchmark. Size each one against income, dependents, and liabilities before the next renewal cycle — this is the most expensive thing to fix late.
Close the term cover gap
Overall coverage score
5.6%
Term cover gap
₹6.3Cr
Health cover gap
₹73L
Critical illness gap
₹81L
Estimated annual premium (all covers)
₹42,196
Term cover
7/100₹6.8Cr
Recommended cover
Health cover
6/100₹78L
Recommended cover
Critical illness
0/100₹81L
Recommended cover
Next best actions
The result hints at what to look at next. Each link carries your current numbers so you never re-enter them.
Close the term cover gap
Term cover protects dependents' income; close the biggest gap first.
Add a critical illness cover
Critical illness pays a lump sum for major diagnoses so you can stop working during recovery.
Raise your health cover
Hospitalisation costs compound with medical inflation — size the right cover before shopping quotes.
What moves the result most
Holding everything else fixed, here is how the headline shifts when each input swings by a typical range.
Assumptions
The recommendation stays blunt, but the assumptions remain visible.
- Score is a weighted average of term (0.438), health (0.375), and critical illness (0.188) adequacy scores — renormalised from the base ADEQUACY_WEIGHTS because the hub does not collect emergency-fund data.
- Per-cover adequacy scores are capped at 100 so surplus cover does not over-reward the average.
- Hub assumes a tier-2 city for health benchmarking, no pre-existing conditions, no employer CI cover, and no disclosed family history. Use the individual calculators for precise personal quotes.
FAQ
The follow-up questions people usually ask after the main recommendation is already clear.
What does 'adequately insured' mean in India?
Being adequately insured in India means your combined coverage stack — term life, health, and critical illness — sizes up to your income, dependents, and real treatment costs. IRDAI-aligned benchmarks suggest term cover of 10-15× annual income, a ₹10L family-floater health policy (₹5L in tier-2 cities) with a super top-up in metros, and a ₹10-25L critical-illness rider where family medical history or tobacco use raises your personal risk.
How is the insurance coverage score calculated?
The coverage score is a weighted average of three adequacy sub-scores — term cover (44%), health cover (38%), and critical illness (18%) — renormalised from the base ADEQUACY_WEIGHTS because this hub does not collect emergency-fund data. Each sub-score measures how close your current cover is to the recommended benchmark for your income, city, and dependents. Emergency-fund adequacy is tracked separately inside the am-i-on-track hub.
Do I need critical illness cover if I already have health insurance?
They solve different problems. Health insurance reimburses hospital bills — bed, surgery, drugs, room charges — after admission and within network limits. A critical-illness policy pays a lump sum on diagnosis of a listed illness (cancer, heart attack, stroke, kidney failure) with no requirement to produce medical bills. That lump sum replaces the 6-18 months of lost income during recovery, experimental treatments, or out-of-network costs that hospital-bill insurance was never designed to cover, which is why the two products are complementary rather than duplicates.
How much term insurance and health cover do I actually need?
For term life, target 10-15× annual income as sum assured — enough to clear outstanding loans and replace 15-20 years of your family's expenses under the human-life-value rule. For health, a ₹10L family floater is the 2026 IRDAI-aligned metro minimum (₹5L in tier-2 cities), ideally stacked with a ₹25L super top-up at a ₹10L deductible to cover the genuine worst-case hospitalisation without paying full-price premium for a high base.
Calculations and decision frameworks, not personalised financial advice. The numbers on this page are based on the inputs you supplied and the regulatory rules in effect when this page was last reviewed. They are not a recommendation to buy, sell, hold, port, or surrender any specific financial product. Consult a SEBI-registered investment advisor, a qualified tax professional, or a licensed insurance broker before acting on a financial decision involving your money.
Artha Engine is an educational decision-support website. We do not offer loans, sell insurance, distribute mutual funds, provide regulated investment advice, collect loan applications, or receive commissions from banks, insurers, AMCs, brokers, or other financial providers. References to RBI, SEBI, IRDAI, Income Tax Department, or other authorities are source citations only. Artha Engine is not affiliated with, endorsed by, or sponsored by any government authority, regulator, bank, insurer, AMC, or broker. Artha Engine does not charge users fees for using calculators, comparison tools, articles, or financial health scoring. Mailing address: India.
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