Why are health insurance premiums so high in India?

In Focus by The Hindu · Apr 15, 2025 · 44m

Customers of private health insurance policies in India have noticed a worrying trend – their premium costs are shooting up, and, going by the many stories on social media, rejection of claims is also on the rise. Add to this the 18% GST that is charged on premiums, and it is no wonder that many say they are choosing to not renew their policies altogether.

Healthcare remains one of those most expensive aspects of an individual’s life in India – with medical inflation rates at 14% and about 60% of the country using private healthcare services, the fear that one episode of illness in a family…