Term life insurance and investment are different jobs — a pure term plan gives a large cover at a low premium because it pays out only on death, with no maturity value. It’s usually far more cost-efficient than insurance-cum-investment products for pure protection.
Health insurance should be bought independent of your employer’s group cover, since that cover typically ends when you leave the job — right when you might need it most.
As a rough guide, term cover of 10–15 times your annual income is a common starting point, adjusted for your liabilities (like an outstanding home loan) and dependents.
Example.A 30-year-old non-smoker can often get ₹1 crore of term cover for a premium far smaller than an equivalent traditional insurance-cum-investment policy would cost for a much smaller sum assured.