With rising medical expenses and unpredictable health risks, having a health insurance policy is no longer a luxury—it’s a necessity. Yet, many individuals in India shy away from getting covered due to a belief that premiums are too high. The good news is: you can get quality health insurance under ₹500/month!
In this article, we’ll cover the top 5 health insurance plans in India that cost less than ₹500/month (approx. ₹6,000 annually) and still offer solid benefits. Whether you’re a salaried professional, a freelancer, or a middle-class family person, these policies offer affordability without compromising on essential features.
What to Expect in This Price Range
Before we jump into the list, it’s important to understand what features are usually available under ₹500/month:
- Coverage of ₹1–₹5 lakh
- Individual or family floater plans
- Cashless hospitalization
- Pre and post-hospitalization expenses
- Daycare procedures
- Usually no maternity cover, critical illness, or OPD cover at this price
- Longer waiting period for pre-existing diseases
1. Star Health – Star Micro Rural and Farmers Care
Premium: Starting from ₹440/month
Coverage: ₹1 – ₹5 Lakh
Age: 18–65 years
Key Features:
- Designed especially for rural and semi-urban populations.
- Covers hospitalization expenses, surgery, and daycare procedures.
- No pre-insurance medical checkup required.
- Cashless facility in 14,000+ network hospitals.
Why It’s Great:
If you’re from a rural or tier-2 city, this plan offers solid protection for basic health needs with a wide network of cashless hospitals.
2. Care Health – Care Plus (Individual Plan)
Premium: ~₹480/month
Coverage: ₹3 Lakh
Age: 18–60 years
Key Features:
- Covers pre & post-hospitalization (30 and 60 days).
- Daycare treatments and in-patient hospitalization included.
- Annual health check-up and ambulance cover.
- Lifetime renewability.
Why It’s Great:
Care Health is known for hassle-free claims and quick service. For young professionals or students looking for budget protection, this plan is a great starting point.
3. Niva Bupa (Formerly Max Bupa) – Health Recharge
Premium: ~₹450/month
Coverage: ₹2 Lakh (Individual)
Age: 18–65 years
Key Features:
- No room rent capping.
- Covers AYUSH treatments.
- 100% sum insured restore benefit (for future claims).
- 10,000+ hospitals for cashless treatment.
Why It’s Great:
The restore benefit is a big plus. If you exhaust your sum insured once, it automatically gets refilled for another claim in the same year — perfect for families or accident cases.
4. Digit Health Insurance – Arogya Sanjeevani Policy
Premium: ₹420–₹480/month
Coverage: ₹1 – ₹5 Lakh
Age: 18–65 years
Key Features:
- IRDAI-standardized product (transparent features).
- Covers COVID-19, cataract, and joint replacement.
- 30-day and 60-day pre-post hospitalization.
- 500+ daycare procedures covered.
Why It’s Great:
If you’re confused between policies, go for this standardized product. Since all insurers follow the same structure for Arogya Sanjeevani, you’re protected against hidden terms.
5. Reliance Health Gain – Gold Plan (Basic Variant)
Premium: ~₹460/month
Coverage: ₹3 Lakh
Age: 18–65 years
Key Features:
- No sub-limit on hospital room rent.
- Quick cashless approvals and hospital tie-ups.
- Preventive health check-ups after 1 year.
- Discounts for family floater options.
Why It’s Great:
Reliance Health is growing fast in metro and semi-urban India. This plan is ideal for salaried professionals looking for decent coverage without paying ₹10k+ yearly.
Comparison Table: ₹500/month Health Plans
| Insurance Plan | Premium (Monthly) | Coverage | Age Group | Highlights |
|---|---|---|---|---|
| Star Micro Care | ₹440 | ₹5 Lakh | 18–65 | Rural focus, no checkups |
| Care Plus | ₹480 | ₹3 Lakh | 18–60 | Checkup + fast claims |
| Niva Bupa Recharge | ₹450 | ₹2 Lakh | 18–65 | Restore benefit |
| Digit Arogya | ₹420–480 | ₹5 Lakh | 18–65 | Transparent & simple |
| Reliance Gold Basic | ₹460 | ₹3 Lakh | 18–65 | Room rent freedom |
Who Should Choose These Plans?
| Profile | Best Plan |
|---|---|
| Students/Young Adults | Niva Bupa or Care Plus |
| Rural residents | Star Health Micro Care |
| Salaried Individuals | Reliance or Digit Arogya |
| First-time buyers | Digit Arogya or Niva Bupa |
Expert Tips Before You Buy
- Always read the fine print – Check waiting periods and room rent limits.
- Use online comparison tools – Sites like PolicyBazaar or Coverfox help simplify the process.
- Opt for annual premium payments – You may get discounts up to 10–15%.
- Add top-ups later – Once your income grows, you can buy add-ons for maternity, OPD, etc.
Where to Buy?
You can buy these policies online directly from:
- Official websites (like starhealth.in, navi.com, digit.in)
- Aggregators: PolicyBazaar, ACKO, Coverfox
- IRDAI-approved insurance agents (for help with documents)
Make sure to compare claim settlement ratios, network hospitals, and premium amounts before buying.
Final Thoughts
Getting insured for under ₹500/month is not only possible—it’s smart. A small premium can save your family from massive medical bills in an emergency. The plans listed above are trustworthy, well-reviewed, and affordable for Indian users.
So don’t wait for a health crisis. Secure your future today with one of these affordable, reliable health insurance policies.