Health insurance demand jumps 27% as Indians focus on higher cover and wellness: Care Health report finds

Care Health Insurance today announced its extensive 2025 Annual Trends Report. A major shift toward proactive Health Insurance purchases and a strong preference for digital engagement are highlighted in the report's analysis of changing consumer behaviours, digital adoption, and emerging health claims patterns.

According to the report's data, there is a definite trend of Indians actively obtaining Health Insurance. There is an increase of more than 27% in the number of insured members in Underwriting Year 2023–2024 to 2024–2025, underscoring the growing awareness about the need for comprehensive health cover, accelerated by escalating medical costs.

Manish Dodeja, Chief Operating Officer, Care Health Insurance, said, "It is evident from our annual trends report that Indian Health Insurance consumers are proactively seeking comprehensive health coverage and are becoming more tech-savvy. Consumers are prioritising preventive healthcare and lifestyle care. Through these behavioural shifts, we are guided to ensure that Care Health Insurance offers intuitive solutions. We're committed to investing in technology to make Health Insurance easier to understand, more accessible and adaptable to our customers' evolving needs."

The company also observed changes in purchasing habits across age groups. All cohorts have seen an annual increase in the average Sum Insured. For example, the average SI for the 0–17 age group increased by over 7% from 2024–2025 to 2025–2026, suggesting that families are securing higher coverage for their children. Aside from this, first-time buyers (18–35 years old) continue to make up a sizable share of all policyholders in 2025- 2026, accounting for more than 30% of the total. Also, the proportion of Senior Citizens (60 years of age and older) increased to almost 14% in 2025–2026.

Analysis of the top health conditions for which claims were settled reveals a focus on illnesses such as Dengue, Malaria, and Common Flu; lifestyle-related ailments such as respiratory infections and heart-related ailments; and Cancer and arthritis. This indicates a high volume of claims for lifestyle diseases and healthcare for the elderly.

A significant number of customers now prefer using digital means for managing their Health Insurance. Website visits with high purchase intent in the first half of this financial year have more than doubled over the last three years. Aside from this, more and more consumers are focusing on preventive healthcare and overall wellness. There has been a 2.5x increase in the number of people who have used the step-tracking feature on our mobile app to avail discounts on their renewal premium.

The most preferred renewal method is now online, with almost 10% increase in customers paying renewal premiums digitally. Similarly, demand for app-based services has also surged. Customers increasingly use Care Health’s mobile app (Care Health – Customer App) for a seamless service experience—be it filing claims, renewing policies, accessing hospital networks, or scheduling health checks. The company has witnessed nearly 30% of its customers filing claims via the app and over 15% of policy renewals through the app over the last year.

Comprehensive health security is increasingly popular among consumers. Top-up coverage, OPD benefits, wellness initiatives, teleconsultation, home care, and a vast network of cashless healthcare providers are factors that consumers are considering before buying their health coverage - and rightly so!