Learn
Your Financial Shield
Term life, health and motor insurance — the safety net that catches you when life happens.
Insurance is the boring product that quietly protects every other financial decision you'll ever make. It's a contract that transfers risk from you to an insurer — for a small premium, you offload the financial cost of a big disaster.
The four words to know
Insurance has its own vocabulary. These four cover 90% of it.
- Premium — What you pay (monthly/yearly) to keep the policy active.
- Sum Assured — The maximum amount the insurer will pay out.
- Deductible — What you pay from your pocket before insurance kicks in. Higher deductible = lower premium.
- Claim — The formal request you file when an insured event happens.
The two policies everyone needs
If you do nothing else, buy these two.
- Term life insurance — Pure protection. ₹1 crore cover for a 30-year-old costs ~₹10,000/year. Only buy if someone depends on your income.
- Health insurance — A single hospitalisation can wipe out years of savings. ₹5–10 lakh family floater is the baseline.
Motor insurance — beyond legal
Third-party is mandatory in India. Comprehensive is what you actually want.
- Third-party — Covers damage you cause to others. Required by law.
- Comprehensive — Adds cover for your own vehicle (accidents, theft, fire, floods). Worth every rupee.
- Zero-dep add-on — Insurer pays full part cost without depreciation. Essential for cars under 5 years old.
Interactive tool
How much insurance cover do you need?
Answer three quick things — dependents, income and loans, family size — and get a suggested term life and health cover figure.
Step 1 — who depends on you?
Step 2 — your numbers
Step 3 — who needs health cover?
AI-powered
Understand a policy you already have
Paste the text from your policy schedule or brochure. DhanGyaan explains what it says it covers, in plain language, and compares it with your quiz estimate.
Remove your name, policy number, phone, address and any ID numbers before pasting. The text is sent to an AI service to create the explanation and is not saved by DhanGyaan. See how we handle it
Tip: complete the quiz above first so the comparison uses your numbers.
The sample is a made-up policy — no real insurer, no real person, no ID numbers. Use it to see which details to copy from your own document.
AI explanations can miss or misread details. This is educational only, not insurance advice — always check the policy wording or ask your insurer.
Educational estimate only — not insurance advice. Actual needs depend on your age, health, lifestyle and goals. Compare policies and read the fine print before buying.
Go deeper
Insurance in India — Term, Health, and the Traps to Avoid
The two policies every adult needs, the ones being mis-sold to you, and how to buy right the first time.
Micro Pro Tips
- 🧒Don't buy insurance for kids — Children don't have an income to replace. Invest that premium instead.
- 📵Avoid investment-cum-insurance — ULIPs and endowment plans do both badly. Keep insurance and investing separate.
- 📑Read exclusions, not features — What's not covered matters more than what's listed on the brochure.