I recently bought health insurance for few family members. The kind of person I'm, this meant an uncontrollable spiral into research
I read through at-least
- 15 policy documents,
- handbooks+circulars published by IRDAI (the regulatory authority),
- and several blogs
**10 things to remember while buying health insurance**
Now the fun part
The room rent across major Insurers is generally capped to 1% of Sum Insured(SI) per day; which means if your SI is 5 lakh, the insurer WON'T pay more than 5k/day
ICU room charges are generally capped to 2% of SI; which means if your SI is 5 lakh, the insurer will NOT pay more than 10k/day
If you have had experience with ICU charges, 10k/day is nothing for ICU
Say you have a SI of 5 lakh, and you had opted for a room within admissible range (5k/day)
Imagine on the day of discharge, you are presented with the final bill as shown

Each of the line items gets reduced in "proportion" of (5/8) = (admissible/actual room rent)

Tragic and funny
You need to be very careful about Co-pay especially if you are buying Insurance for Senior citizens, or folks with critical illness
What that means is, if your admissible claim amount is say 3 lakh, for a Co-pay of 10%, you will have to put up 30k; if claim amount is 5 lakh, you will have to put up 50k. You get the idea
Unfortunate as it is, when she buys an insurance, she CAN'T claim any costs towards hospitalisations@Diabetes till she has waited for at-least
Also, the waiting period differs across diseases & Insurers
**What I did - I looked for a policy that gave me 2 years as waiting period; most insurers give a standard 4 year waiting period
**Make a list of all the pre-existing diseases(PED)/critical diseases specific to the person being insured and factor in the waiting period for those specific diseases
This means, the day I exit my org, the policy expires. Worst, the reverse countdown that had started on my waiting period gets reset!
Fortunately, there's an easy way to tackle this
**Porting - Moving to a new Insurer
Migration - Moving to a new policy within the same Insurer
So say for a family of 3 (1 kid, husband and wife), the total SI could be 5 lakh, which can be claimed by any of the 3 members
On demise of the primary policyholder, the policy ceases to exist for all other members, and they have to buy a new policy at the existing market rates
Many Insurers reward you a 5% CB for every claim free year though I did see policies going as high as 25%
% of CB is important if you are buying insurance early on and also if you are fit. Why?
Say you have an individual insurance with cover of 5 lakh. If you get hospitalised for a medical emergency, and your total expense was 8 lakh, you will have to pay...
Now say everything remains the same, in addition, you also had a top-up policy with a deductible of 5 lakh.
This time, the remaining 3 lakh (claim amount above deductible) will be covered by your top-up policy
ALWAYS go for policies that have "cashless" mode & ALWAYS check for hospitals around you that are included in the PPN.
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Curated the best tweets from the best traders who are exceptional at managing strangles.
• Positional Strangles
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How to sell Strangles in weekly expiry as explained by boss himself. @Mitesh_Engr
• When to sell
• How to do Adjustments
• Exit
1. Let's start option selling learning.
— Mitesh Patel (@Mitesh_Engr) February 10, 2019
Strangle selling. ( I am doing mostly in weekly Bank Nifty)
When to sell? When VIX is below 15
Assume spot is at 27500
Sell 27100 PE & 27900 CE
say premium for both 50-50
If bank nifty will move in narrow range u will get profit from both.
Beautiful explanation on positional option selling by @Mitesh_Engr
Sir on how to sell low premium strangles yourself without paying anyone. This is a free mini course in
Few are selling 20-25 Rs positional option selling course.
— Mitesh Patel (@Mitesh_Engr) November 3, 2019
Nothing big deal in that.
For selling weekly option just identify last week low and high.
Now from that low and high keep 1-1.5% distance from strike.
And sell option on both side.
1/n
1st Live example of managing a strangle by Mitesh Sir. @Mitesh_Engr
• Sold Strangles 20% cap used
• Added 20% cap more when in profit
• Booked profitable leg and rolled up
• Kept rolling up profitable leg
• Booked loss in calls
• Sold only
Sold 29200 put and 30500 call
— Mitesh Patel (@Mitesh_Engr) April 12, 2019
Used 20% capital@44 each
2nd example by @Mitesh_Engr Sir on converting a directional trade into strangles. Option Sellers can use this for consistent profit.
• Identified a reversal and sold puts
• Puts decayed a lot
• When achieved 2% profit through puts then sold
Already giving more than 2% return in a week. Now I will prefer to sell 32500 call at 74 to make it strangle in equal ratio.
— Mitesh Patel (@Mitesh_Engr) February 7, 2020
To all. This is free learning for you. How to play option to make consistent return.
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