Industry Outlook

Market Size & Growth

• The Indian health insurance industry’s Gross Written Premiums (GWP) are projected to grow from ₹1.3 lakh crore in 2024 to ₹2.0 lakh crore by 2028, implying a CAGR of ~12.8%.
• As of FY 2024–25, standalone health insurers (SAHIs)> collected around ₹38,400 crore in premiums, up nearly 16% year-on-year. Their share of non life GWP now exceeds 12.5%.
• In FY 2023–24, the SAHI segment premium rose by 26.2%, from ₹26,243 crore to ₹33,115 crore, while overall non-life grew ~13% to ₹2.9 lakh crore.
• Industry data suggests SAHIs grew roughly 2× faster than general insurance firms in premium growth.
• For FY 2026, SAHIs aim for ~20% growth, backed by ongoing momentum in retail health and rising premium ticket sizes (₹ crore policies).

Key Growth Drivers

• Medical inflation is estimated at ~13–14% p.a., pushing up premium renewal rates and plan limits. Many users report renewal hikes of 20–40%, particularly post age 60.
• IRDAI reforms effective April 2024—lifting the 65-year entry cap and mandating coverage for severe illnesses (e.g. cancer, heart or renal failure)—are expanding the insured base, especially older and high-risk individuals. Insurers can adjust premiums for such cases.
• Government schemes (Ayushman Bharat/PM JAY and several state-level programs) now provide coverage of up to ₹5 lakh (some states higher), complementing retail health growth in the ₹10–20 lakh+ coverage bracket.
• Digital platforms (PolicyBazaar, UPI-based payments, telemedical features) and AI/ML-led claim automation are compressing costs and enabling tailored high-ticket insurance offerings.

Summary: Health insurance in India is firmly on an expansion trajectory in ₹ terms, with SAHIs consistently outpacing the broader non-life industry—driven by regulatory reforms, digital maturation, inflation dynamics, and rising health awareness. Continued innovation in digital and preventive insurance could unlock untapped markets, especially in rural and older population segments.

Latest Shareholding Pattern