Best Credit Cards for Insurance Premium Payments in India 2019

A handful of credit cards in India give a high reward rate on paying bills, including insurance premium payments. Of note, it is important to confirm your provider is eligible for bill pay while doing your research. Based on our analysis, we've laid out the best options if you want a good return on your insurance premium payments.

Best Credit Cards for Insurance Premium Payments
Our Top PickStandard Chartered Ultimate3.33% all spend, up to Rs. 10,000 MakeMyTrip bonus
SecuredBOB Financial Prime Card1% cashback all spend, Rs. 15,000 minimum fixed deposit
High IncomeYES Prosperity Cashback Plus5% cashback bill pay, groceries & movies; 0.75% other retail
YES Prosperity Cashback5% cashback bill pay, groceries & movies; 0.50% other retail
Tata AIGHDFC Bank Bharat Card5% on bill pay, groceries, fuel & more

Best Card for Insurance Premium Payment: Standard Chartered Ultimate Card

Consider this if you want a great reward rate on multiple spend categories

Age Requirement 21-65
Annual Income Requirement None listed by issuer
Bonuses
  • Welcome Gift: Up to Rs. 10,000 cashback on MakeMyTrip on tickets booked within 90 days of card issuance

The Standard Chartered Ultimate Card is an excellent choice for high rewards across the board, including on insurance premium payments. First, cardholders will get an excellent welcome gift of up to Rs. 10,000 cashback on MakeMyTrip tickets booked within the first 90 days. On general spend, you'll receive best-in-market 3.33% rupee value back (5 points per Rs. 150 spent; 1 point = Rs. 1 cashback). The SC Ultimate Card stands out in that this high reward rate applies to all spend without exceptions, including insurance premium payments.

The card has great travel perks too, including 4 airport lounge visits per quarter (Visa program), and one free Priority Pass visit per month if you reach Rs. 20,000 in monthly spend. You'll also receive 5% off duty free purchases and only be charged a 2% foreign currency transaction fee overseas, much lower than the typical 3.5% on most cards. Overall, get the SC Ultimate Card to earn great cashback on your insurance premium payments and everything else, as well as for its great perks.

  • Annual Fee: Rs. 5,000
  • Reward Earn Rate: 5 points per Rs. 150 spent on all transactions; 5% cashback duty free spend
  • Point Value: 1 point = Rs. 1 cashback
  • Perks: Complimentary Priority Pass membership (USD 27/visit, waived once monthly if last month's spend > Rs. 20,000); Visa Lounge access (4 free visits/quarter, major airports in India); 2 free domestic golf games/month (1 free guest game/month), 1 free golf coaching session/month; air accident cover of Rs. 1 crore, emergency medical, bag delay, loss of bags/personal docs, hijacking and flight delay coverage
  • Annual Fee: Rs. 5,000
  • Reward Earn Rate: 5 points per Rs. 150 spent on all transactions; 5% cashback duty free spend
  • Point Value: 1 point = Rs. 1 cashback
  • Perks: Complimentary Priority Pass membership (USD 27/visit, waived once monthly if last month's spend > Rs. 20,000); Visa Lounge access (4 free visits/quarter, major airports in India); 2 free domestic golf games/month (1 free guest game/month), 1 free golf coaching session/month; air accident cover of Rs. 1 crore, emergency medical, bag delay, loss of bags/personal docs, hijacking and flight delay coverage

Best Secured Credit Card for Insurance Bills: BOB Financial Prime Card

Consider this if you have poor, limited or nonexistent credit history

Age Requirement None listed by issuer
Annual Income Requirement None listed by issuer

The BOB Prime Card is the best pick for insurance premium payments if you need a secured credit card. Also known as a credit card against fixed deposit, it's a great card to start with, build credit and eventually move up to a more valuable card. The BOB Financial Prime Card will give you 1% rupee value back (4 points per Rs. 100 spent, 4 points = Rs. 1) on all spend, including insurance premium payments, which is the best deal among secured cards. It also has the lowest deposit requirement (Rs. 15,000) in India. Get the BOB Prime to earn good value on your insurance premium and other spend while you need a credit card against fixed deposit.

  • Minimum Fixed Deposit: Rs. 15,000
  • Reward Earn Rate: 4 Reward Points per Rs. 100 spent
  • Point Value: 4 Reward Points = Rs. 1
  • Fuel Surcharge Waiver: Transactions Rs. 400 – 5,000; max Rs. 250 waived per month
  • Minimum Fixed Deposit: Rs. 15,000
  • Reward Earn Rate: 4 Rewards Points per Rs. 100 spent
  • Point Value: 4 Reward Points = Rs. 1
  • Fuel Surcharge Waiver: Transactions Rs. 400 – 5,000; max Rs. 250 waived per month

Best Insurance Premium Credit Cards for High Income Earners

YES Bank has two great cards for high income earners, with the main differences being annual fee and retail spend cashback rate.

YES Prosperity Cashback Plus Credit Card

Consider this if you make at least Rs. 300,000 per year (Rs. 500,000 if self-employed)

Age Requirement 21-60
Annual Income Requirement Rs. 300,000 (Rs. 500,000 if self-employed)
Bonuses
  • Welcome Gift: Rs. 250 cashback on Rs. 2,500 spend in first 30 days

The YES Prosperity Cashback Plus Credit Card will provide the highest return on bill pay, including insurance premiums, for high income earners. YES Bank's platform, PayNow, will also give you 5% back on bills for rent, mobile, telephone, gas and electricity, but be sure to check the bank's eligible providers for bill pay. Also, be mindful that there is a Rs. 100 monthly cashback cap on bill pay, so your 5% return will be driven down if your bill spend is high enough. You'll also get the same great 5% rate on groceries and movie ticket spend (each category also has a Rs. 100 monthly cashback cap). All other retail spend will net you a solid 0.75% cashback rate. In all, if you can clear the income requirement, this could be the most valuable card for paying your insurance premiums and other bills.

  • Annual Fee: Rs. 1,500
  • Reward Earn Rate: 5% cashback on 1) YES PayNow (insurance, rent, mobile, telephone, gas, electricity - various eligible providers on Biller List), 2) groceries & 3) movie tickets (Rs. 500 min transaction, max Rs. 100 cashback monthly separately for each group #1-3); 0.75% cashback on all other retail spend
  • Annual Fee: Rs. 1,500
  • Reward Earn Rate: 5% cashback on 1) YES PayNow (insurance, rent, mobile, telephone, gas, electricity - various eligible providers on Biller List), 2) groceries & 3) movie tickets (Rs. 500 min transaction, max Rs. 100 cashback monthly separately for each group #1-3); 0.75% cashback on all other retail spend

YES Prosperity Cashback Credit Card

Consider this if you make at least Rs. 300,000 per year (Rs. 500,000 if self-employed)

Age Requirement 21-60
Annual Income Requirement Rs. 300,000 (Rs. 500,000 if self-employed)
Bonuses
  • Welcome Gift: Rs. 250 cashback on Rs. 2,500 spend in first 30 days

The YES Prosperity Cashback Credit Card is very similar to the YES Prosperity Cashback Plus, with key differences being a Rs. 1,000 annual fee (instead of Rs. 1,500) and 0.50% cashback on retail spend (instead of 0.75%). It still provides the same top-of-market return on bill pay, including insurance premiums, for high income earners. You'll get 5% back on bills for rent, mobile, telephone, gas and electricity via PayNow, but still be sure to check the bank's eligible providers for bill pay. And, you'll still have a Rs. 100 monthly cashback cap on bill pay, so your 5% return will be driven down if your bill spend is high enough.

The same great 5% rate on groceries and movie ticket spend still applies (each category also has a Rs. 100 monthly cashback cap). Overall, if you prefer the lower annual fee instead of the higher cashback rate on retail spend, get the Prosperity Cashback instead of the Prosperity Cashback Plus.

  • Annual Fee: Rs. 1,000
  • Reward Earn Rate: 5% cashback on 1) YES PayNow (insurance, rent, mobile, telephone, gas, electricity - various eligible providers on Biller List), 2) groceries & 3) movie tickets (Rs. 500 min transaction, max Rs. 100 cashback monthly separately for each group #1-3); 0.50% cashback on all other retail spend
  • Annual Fee: Rs. 1,000
  • Reward Earn Rate: 5% cashback on 1) YES PayNow (insurance, rent, mobile, telephone, gas, electricity - various eligible providers on Biller List), 2) groceries & 3) movie tickets (Rs. 500 min transaction, max Rs. 100 cashback monthly separately for each group #1-3); 0.50% cashback on all other retail spend

Best Card for Tata AIG Life Insurance: HDFC Bank Bharat Card

Consider this if you're a moderate spender who makes at least Rs. 144,000 per year

Age Requirement 21-60 (65 if self-employed)
Annual Income Requirement Rs. 144,000 (Rs. 200,000 if self-employed)

The HDFC Bharat Card is a narrow pick for a top insurance premium card, but we are including it due to a very high rate for Tata AIG Life Insurance. HDFC indicates you'll get 5% cashback on bill pay, but for insurance premiums, we can only confidently state that this applies for Tata AIG after reviewing the list of eligible providers for payment. The card also provides a great 5% cashback rate on groceries, online shopping, travel, fuel, rail, mobile recharge and other bill payments (be sure to check the provider list). Be mindful that there's a Rs. 150 monthly cashback cap on each of: 1) bill pay (including insurance premium) + groceries + fuel + IRCTC bookings + mobile recharge, as well as 2) SmartBuy (HDFC's online platform for travel, shopping & more) + EasyEMI (pre-approved loan facility) + PayZapp (payments product). So, if you do spend enough to exceed the maximums, your 5% return will decline.

Last, note that you won't get any cashback on dining, a large category for many people, and that you have to make Rs. 144,000 annually to get approved. Bottom line, if you're a Tata AIG Life Insurance customer, this could be a good card to consider.

  • Annual Fee: Rs. 500 (after 1st year, waived on annual spend Rs. 20,000)
  • Earn Rate: 5% cashback bill pay (select providers), groceries, fuel, mobile recharge, IRCTC (max Rs. 150 cashback on sum of 4 categories), HDFC SmartBuy (travel/online shop), EasyEMI (pre-approved loan facility) & PayZapp (max Rs. 150 cashback on sum of 3 categories); no cashback on other
  • Fuel Surcharge Waiver: Transactions Rs. 400+, max Rs. 250 waived/month
  • Insurance: Accidental death insurance Rs. 50 lakhs; fire/burglary protection for goods Rs. 5,000+ for 180 days
  • Annual Fee: Rs. 500 (after 1st year, waived on annual spend Rs. 20,000)
  • Earn Rate: 5% cashback bill pay (select providers), groceries, fuel, mobile recharge, IRCTC (max Rs. 150 cashback on sum of 4 categories), HDFC SmartBuy (travel/online shop), EasyEMI (pre-approved loan facility) & PayZapp (max Rs. 150 cashback on sum of 3 categories); no cashback on other
  • Fuel Surcharge Waiver: Transactions Rs. 400+, max Rs. 250 waived/month
  • Insurance: Accidental death insurance Rs. 50 lakhs; fire/burglary protection for goods Rs. 5,000+ for 180 days
Dan Grossman

Dan is a Senior Research Analyst at ValueChampion India, focusing on credit cards. He holds a B.S. in Mathematics & Economics from the University of Michigan, and previously worked in the financial services industry at Capital One and Moelis & Company.