General insurance: All non-life insurance policies fall under general insurance. These policies are for shorter tenures, ranging from 12 months to 10 years, depending on the policy that you choose.
Following are the different types of general insurance:
- Health insurance: Health insurance covers medical and healthcare expenses. These policies further come in various sub-categories catering to every individual’s needs. These are individual health insurance, family health insurance, senior citizen health insurance, and more.
Here’s the list of health insurance sub-categories:
- Individual health insurance - A plan for every individual, covering medical expenses based on their specific requirements.
- Family health insurance or family floater health insurance - A family health insurance plan covers all family members under a single plan.
- Senior citizens health insurance – A plan specifically designed for individuals above 60 years of age, considering their medical needs at an older age.
- Group health insurance – A plan for larger organisations, groups, or companies, offering a common health cover to their employees or members.
- Maternity health insurance – A maternity health insurance covers pregnancy-related expenses like delivery, newborn baby’s vaccination, and other treatment costs.
- Top-up health insurance – A plan that works as an extra protection over and above your regular health insurance plan.
- Motor insurance: Motor insurance policies give you financial coverage for repairing or replacing any parts of your damaged vehicle. Covers damages caused due to theft, accidents, and natural or man-made calamities. You also get coverage for damages caused to the third party. Plus, as per IRDAI rules, insurance companies must also provide a personal accident cover up to Rs. 15 lakh to the policyholders.
You can choose a motor insurance policy based on your vehicle in the following categories.
- Home insurance: A home insurance policy covers your home against losses arising out of fire, accidents, theft, flood, or earthquake. You get coverage for repairing or replacing any damaged content in the house or the entire house. You also get coverage for lost jewellery or content in theft. Some home insurance policies also give you cash to pay for immediate requirements like clothes, medicines, or temporary accommodation.
- Pocket Insurance and Subscriptions – These are small-ticket insurance offered at pocket-friendly premiums. You get coverage like Dengue Cover, Hospital Cash Cover, Domestic Holiday Cover, and more. Also, covers like Mobile Screen Insurance, Trek Cover, Wallet Care, Key Safeguard, etc.
- Two-wheeler insurance – Provides insurance coverage for two-wheelers against damages or losses. You get a comprehensive two-wheeler insurance that covers damages caused to your own vehicle and third party. According to the new IRDAI rule, every new two-wheeler owner must have a 5-year insurance policy. After completion of this tenure, you can choose to buy two-wheeler insurance as per your requirement for whatever duration you want.
- Car insurance – Offers insurance coverage for private cars against damages or losses. You get a comprehensive car insurance that includes own damage and third-party coverage. According to the new IRDAI rule, every new car owner must have a 3-year insurance policy. Same as above, after completing this tenure, you can choose to buy a car insurance for one year or more years, depending on your needs.
- Commercial vehicle insurance – This type of motor insurance policy covers vehicles used for commercial purposes. It includes goods carrying vehicles and passenger carrying vehicles.
- Third-party insurance – You can also buy only a third-party insurance for car or two-wheeler. As per the Motor Vehicles Act, it is mandatory for all vehicle owners to have a third-party insurance. This type of motor insurance policy covers the damages caused to the third party – their vehicle or property by your insured vehicle. You even get coverage for their medical expenses if caused any accidental injury to the third party.
- Own-damage insurance – If you only have a third-party insurance, then you can opt for an own damage cover. This insurance policy covers damages caused to your own vehicle due to accidents, theft, natural calamities, or man-made activities. The third-party insurance does not cover the damages caused to your vehicle. Therefore, having an own damage cover would prove beneficial.
- Home insurance: A home insurance policy covers your home against losses arising out of fire, accidents, theft, flood, or earthquake. You get coverage for repairing or replacing any damaged content in the house or the entire house. You also get coverage for lost jewellery or content in theft. Some home insurance policies also give you cash to pay for immediate requirements like clothes, medicines, or temporary accommodation.
- Pocket Insurance and Subscriptions – These are small-ticket insurance offered at pocket-friendly premiums. You get coverage like Dengue Cover, Hospital Cash Cover, Domestic Holiday Cover, and more. Also, covers like Mobile Screen Insurance, Trek Cover, Wallet Care, Key Safeguard, etc.
Did you know? Some health insurance plans offer pocket-sized add-ons like daily hospital cash, OPD cover, or even diagnostic test reimbursements.
Check plans now
You can look for affordable insurance policies at Bajaj Finance Insurance Mall. Here you will get a range of insurance policies offered by leading insurers in India. You can compare and buy insurance policies online in just a few steps.
Tax Advantages of Different Insurance Types in India
Understanding the tax benefits associated with various types of insurance policy can help you plan your finances more efficiently. In India, life, health, and certain other insurance plans offer deductions under the Income Tax Act, reducing your taxable income while strengthening long-term financial security.
Life Insurance tax benefits
Life insurance is one of the most tax-efficient financial tools available in India. Apart from offering financial protection to your family, it provides attractive deductions under the Income Tax Act, 1961. Premiums paid towards eligible life insurance plans qualify for tax deductions under Section 80C, helping reduce your taxable income. Additionally, the maturity proceeds and death benefits may also be tax-exempt under Section 10(10D), subject to prescribed conditions.
This means that whether you invest in a term plan, endowment policy, or ULIP, you not only secure your dependents’ future but also enjoy tax savings during the policy term. However, the benefits depend on factors such as premium amount, sum assured, and policy compliance with tax regulations. Choosing the right life insurance plan can therefore serve the dual purpose of protection and tax planning.
Life Insurance tax benefit overview
Section
|
Benefit Type
|
Maximum Deduction/Exemption
|
Key Conditions
|
Section 80C
|
Premium paid deduction
|
Up to ₹1.5 lakh (combined limit)
|
Premium should not exceed 10% of sum assured (for policies issued after 1 April 2012)
|
Section 10(10D)
|
Maturity & death benefit exemption
|
Fully exempt (subject to conditions)
|
Applies if premium criteria and other rules are satisfied
|
Section 80CCC
|
Pension plan contribution
|
Within overall ₹1.5 lakh limit
|
Applicable for certain annuity plans
|
Health Insurance tax benefits (Section 80D)
Health insurance not only protects you against rising medical costs but also offers significant tax advantages under Section 80D of the Income Tax Act. Premiums paid for health insurance policies covering yourself, your spouse, children, and parents are eligible for tax deductions. The deduction limits vary depending on the age of the insured members, with higher limits for senior citizens.
Preventive health check-ups are also included within the overall deduction limits, making it easier to claim benefits while promoting proactive healthcare. These tax incentives encourage individuals and families to secure adequate medical coverage while reducing their overall tax burden. Opting for a suitable health insurance plan can therefore be a strategic financial decision that combines protection with tax efficiency.
Health Insurance tax benefit overview
Insured Members
|
Maximum Deduction
|
Additional Benefit
|
Applicable Section
|
Self, spouse & children (below 60 years)
|
Up to ₹25,000
|
Includes preventive check-up (within limit)
|
Section 80D
|
Parents (below 60 years)
|
Additional ₹25,000
|
Over and above self/family limit
|
Section 80D
|
Senior citizen (60+ years)
|
Up to ₹50,000
|
Higher deduction limit
|
Section 80D
|
Preventive health check-up
|
Up to ₹5,000
|
Within overall limit
|
Section 80D
|
Top Health Insurance Plans
