Health Insurance Brochure Lies? Check NL-47 First

Before buying health insurance, check the IRDAI-mandated NL-47 disclosure form. It shows your insurer's real claim settlement rate, complaint numbers, and how many customers actually renew — things no brochure will ever tell you.

Here's what happened: IRDAI requires every general and health insurer to publish a standardised NL-47 disclosure form with key performance data every year.. NL-47 reveals claim settlement ratios, incurred claim ratios, grievance counts, and policyholder renewal rates — all in one comparable document.. Most buyers never see NL-47 because insurers are not required to hand it out during sales; you must look it up on the insurer's website or IRDAI's portal..

What you should do: Visit your shortlisted insurer's website or irdai.gov.in and search for their latest NL-47 disclosure before paying any premium.. Compare claim settlement ratios across at least 3 insurers — aim for insurers with a ratio above 85% and a low grievance count per 10,000 policies.. Check the renewal retention rate in NL-47: if fewer than 70% of customers renew, it signals poor claims experience or hidden premium hikes at renewal..

An incurred claims ratio between 70–90% is the sweet spot — below 70% means the insurer is over-profiting by rejecting too many claims; above 100% signals financial stress.