Here’s a rundown of Top 10 Low-Cost (or Budget-Friendly) Health Insurance Policies in India (2025) —

#Policy / InsurerWhy It’s Considered Low-Cost / Good Value
1Arogya Sanjeevani PolicyBasic and widely available — designed for affordability while providing up to ₹10 lakhs coverage, with lifelong renewability and option to include family members. TATA AIG
2Optima Lite (by HDFC ERGO)**Entry-level sum insured (e.g. ₹5 lakhs / ₹7.5 lakhs), giving essential coverage at lower premiums — ideal for individuals / young adults or basic family cover. HDFC ERGO+1
3National Mediclaim Plus PlanListed among budget-friendlier plans — offers basic coverage at modest premium rates compared to high-end comprehensive plans. Policybazaar+1
4Raheja Health QuBE Insurance PlanLower-end sum-insured options under this plan make it accessible for those seeking economical coverage. Policybazaar+1
5Oriental Happy Family Floater PolicyOffers flexible sum-insured slabs starting from lower amounts — good for families looking to manage cost vs. benefit carefully. Policybazaar+1
6Magma HDI OneHealth Insurance PlanOffers a range of sum-insured options, including lower slabs — useful for those prioritising affordability. Policybazaar+1
7Digit Health InsuranceCited among plans with very low monthly cost (e.g. starting ~₹350/month) — budget friendly while offering basic coverage. InvestKraft
8Liberty Health Connect PlanAmong insurers offering health cover with affordable premiums and flexible sum-insured options. Policybazaar+1
9New India Mediclaim PolicyA mediclaim-type policy with flexible sum-insured bands (starting low) and basic cover, making it accessible for budget-conscious buyers. New India+1
10Star Health Assure (or similar basic plans by Star Health Insurance)**Identified among lower cost / low-premium health plans for moderate coverage (sum insured near ₹10 lakhs). PolicyX+1

What “Low-Cost” Means — and What to Expect

  • Lower Sum Insured / Basic Coverage: These plans typically offer modest sum insured — often ₹3–10 lakhs — suitable for moderate hospitalization expenses or smaller families. They may not cover high-cost treatments comprehensively.
  • Essential Coverage (Hospitalisation, Mediclaim): Many low-cost plans focus on basic hospitalisation, surgery, maybe pre/post hospitalization. They might not include high-end add-ons (e.g. high sum assured, critical illness riders, luxury room rent, extensive treatments).
  • Good for Young / Healthy / Budget-Conscious People: Especially useful for singles, young couples, small families, or first-time buyers who want immediate protection without high premiums.
  • Affordable Premiums: Because of lower cover amounts and simpler terms, these plans often come with lower annual or monthly premium — making regular renewal easier.

Important Considerations Before You Pick a Low-Cost Plan

  • Match Coverage to Real Needs: If you expect high-risk, pre-existing conditions, or lifestyle diseases, a low-cost plan may not suffice when treatment costs escalate.
  • Check What’s Included: Sometimes low-cost plans have limited inclusions and may miss out on daycare procedures, pre/post-hospitalization, advanced treatments, or network hospital benefits.
  • Consider Top-Ups or Add-Ons: If you buy a basic plan now, you might later need a top-up or separate coverage for more expensive treatments.
  • Watch Out for Waiting Periods & Exclusions: Like any health plan, there may be waiting periods for certain conditions and exclusions — read terms carefully.

Who Should Opt for Low-Cost Policies?

  • Young individuals without major health risks.
  • Small families on a moderate budget who primarily want protection against unexpected hospitalization.
  • First-time buyers experimenting with what coverage works for them.
  • People who want to start with a basic plan and, if needed, scale up later via top-ups or larger policies.

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