Health Insurance Fuels 8.92% Rise: Are You Overpaying?

India's non-life insurance industry grew nearly 9% in the first half of FY27, mostly because health insurance demand is booming. If you have a health policy, this growth may mean higher renewal premiums are coming your way.

Here's what happened: India's non-life insurance sector posted around 9% premium growth in the first half of FY27, driven primarily by rising health insurance demand across urban and semi-urban India.. Agriculture insurance premiums fell sharply in the same period, dragging down the overall growth rate and revealing a widening gap between health and crop insurance performance.. Health insurance continues to be the fastest-growing segment, as more Indians buy policies post-COVID and as medical inflation pushes up both claim values and premium collections..

What you should do: Compare your current health policy's sum insured against the actual cost of a 5-day hospitalisation in your city — if it's below ₹5 lakh, consider a top-up plan before renewal.. Check your renewal notice carefully for any premium hike; under IRDAI portability rules, you can switch insurers without losing your no-claim bonus or waiting period credits.. Avoid auto-renewing a health policy without reviewing exclusions — ask your insurer in writing which conditions are excluded and whether a premium revision changes your coverage terms..

If your insurer hikes your premium at renewal, file a portability request at least 45 days before expiry — insurers are legally bound to accept it under IRDAI guidelines.

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