The health insurance industry in India is witnessing strong growth, driven by rising healthcare costs and increasing consumer awareness post the COVID-19 pandemic. According to GlobalData, with medical inflation at an annual rate of 14%, the health insurance market is projected to reach INR2tr ($23.8bn) by 2028.
Surge in policies sold & higher coverage amounts
InsurTech Turtlemint has reported a significant rise in the total sum assured, signalling a shift in consumer behaviour, with more individuals are opting for higher coverage amounts to protect themselves against escalating healthcare costs. Turtlemint is currently servicing annual quote requests amounting to approximately INR546bn in sum assured across 592 Tier II and beyond cities. Over the past five years, the total sum assured has surged by almost 240%.
This trend toward broader benefits and more comprehensive health plans is also reflected in higher premiums per policy, particularly in smaller cities where awareness is growing. Turtlemint’s data shows that in Tier 2 and Tier 3 cities, premium per policy has increased by over 73% since 2020. Consumers are now more willing to invest in extensive health coverage to mitigate financial risks associated with medical emergencies and inflation.
Turtlemint co-founder & CEO Dhirendra Mahyavanshi said that the increasing preference for higher sum assured and comprehensive coverage highlights a growing consumer focus on financial preparedness for medical expenses. “We are committed to helping individuals make informed insurance decisions, ensuring they get the right coverage and seamless claims support when they need it most," he said.