Medical Costs Up 14%: Is Your Health Cover

Hospital bills in India are rising fast due to costly treatments, advanced surgeries, and inflation. Most people's health insurance covers haven't kept pace — meaning a single hospitalisation could still leave you with a massive out-of-pocket bill.

Here's what happened: Medical inflation in India is running at roughly 14% annually — nearly double the general consumer price inflation rate.. High-value claims for cancer, cardiac surgeries, and organ transplants are rising sharply as hospitals adopt advanced treatment protocols.. Many policyholders with ₹3–5 lakh sum insured — bought 5–10 years ago — now find their cover exhausted in a single hospitalisation..

What you should do: Check your current sum insured right now — if it is below ₹10 lakh for a family of four in a metro city, you are likely underinsured.. Add a super top-up policy of ₹15–20 lakh above a deductible threshold — premiums are much lower than upgrading a base policy.. Review your policy's room rent sub-limit and co-payment clauses — these hidden caps can slash your reimbursement even if your sum insured is adequate..

A ₹20 lakh super top-up plan with a ₹5 lakh deductible typically costs under ₹8,000 per year for a 35-year-old — far cheaper than upgrading your base cover to ₹20 lakh directly.