India’s health insurance sector witnessed robust growth, growing at a rate of around 9 per cent, with total health insurance premiums volume exceeding Rs 1.2 lakh crore in 2024-25, according to a statement released by Ministry of Finance.
This growth reflects increasing awareness, improved access to healthcare financing and a rising demand for financial protection against medical expenses. In order to enhance efficiency and ensure timely support to policyholders, the Insurance Regulatory and Development Authority of India (IRDAI) has prescribed specific timelines for the processing of cashless health insurance claims, the statement outlined. The timelines have been prescribed by IRDAI: cashless pre-authorisation, which is within one hour and the final authorisation, which is within three hours. These timelines are aimed at minimising delays and ensuring that patients receive timely access to medical care.
The report noted that the increase in health insurance premiums is driven by factors such as aging policyholders, higher coverage and enhanced features, among others.
