Top 10 Health Insurance Companies in India 2024

Health Insurance Companies

Health insurance plays a crucial role in the lives of Indians with the skyrocketing healthcare costs and the unpredictability of medical emergencies. Whether through employer-provided coverage or individual policies, health insurance ensures that people are financially prepared for medical crises without draining their savings.

India’s health insurance market is undergoing rapid growth, now recognized as the fastest-growing health insurance market in the world. Traditionally, the insurance sector has been known for cumbersome processes, but this is changing with the rise of digital insurance and insurtech companies.

These innovative companies are using technologies like artificial intelligence, machine learning, and data analytics to transform how insurance works – making risk assessment, policy distribution, and claims processing more efficient and user-friendly.

The emergence of health insurance startups like Onsurity is driving this transformation by offering affordable, flexible monthly health plans while greatly enhancing customer experience. The sector is expected to grow at an average rate of 9% per year, highlighting the increasing demand for health coverage. In FY22, the health insurance market showed an impressive growth rate of 26.3%, holding a significant share within the non-life insurance segment.

In this blog, we help you find the best health insurance company in India for 2024 by showcasing the top 10 providers, complete with key metrics to help you make an informed decision.

List of Top 10 Health Insurance Companies in India  

Source: IRDAI

10 Best Health Insurance Companies in India 

As we highlight the 10 best health insurance companies, it is important to note that the listing is not in any particular order. The reason is that no particular company can rank first across all key parameters.

Importance of Health Insurance Companies 

Here are some key reasons highlighting the significance of health insurance companies:

1. Financial Security

Health insurance companies offer financial protection against medical emergencies and rising healthcare costs. By providing coverage for hospitalisation, treatments, and medical expenses, they help individuals and families avoid significant financial burdens during times of illness or injury.

2. Access to Quality Healthcare 

Health insurance companies enable policyholders to access the best healthcare services, including consultations, treatments, surgeries, and hospitalisation, without worrying about the high costs involved. This ensures that individuals can receive timely and quality medical care when needed.

3. Range of Options

Health insurance companies offer a variety of insurance plans tailored to specific needs, such as individual health insurance, family health insurance, critical illness insurance, personal accident insurance, and more. This range of options allows individuals to choose coverage that suits their requirements.

4. Risk Mitigation

Health insurance companies help individuals mitigate the financial risks associated with unexpected medical emergencies, accidents, or critical illnesses. By providing coverage for a wide range of healthcare needs, they offer peace of mind and security to policyholders.

5. Tax Benefits

Health insurance companies offer tax benefits to policyholders under Section 80D of the Income Tax Act. This incentivises individuals to invest in health insurance, promoting financial planning and security for healthcare needs.

Quick Read: Group Term Life Insurance for Employees

Benefits of Buying Health Insurance from the Insurers

There are several benefits to buying health insurance from insurers. Some of them are as follows:

1. Financial Potection

Health insurance provides financial protection against unexpected medical expenses. It helps cover the costs of hospitalisation, surgeries, medications, and other healthcare services, reducing the financial burden on individuals and families.

2. Coverage for Chronic Conditions

Health insurance plans often provide coverage for the management of chronic conditions, such as diabetes, asthma, or heart disease. This coverage includes medications, regular doctor visits, and other necessary treatments, helping individuals effectively manage their health conditions and improve their quality of life.

3. Additional Benefits and Services

Many health insurance plans offer additional benefits and services, such as telemedicine, mental health support, maternity care, and prescription drug coverage.

4. Peace of Mind

Perhaps one of the most significant benefits of health insurance is the peace of mind it offers. Knowing that you have coverage in place in case of illness or injury provides reassurance and allows individuals to focus on their health and well-being without the stress of financial uncertainty.

Quick Read: Top 5 Group Health Insurance Companies in India

How to Choose the Best Health Insurance Companies in India?

1. Understanding Key Metrics

When choosing the right health insurance company, it’s important to consider several key metrics. Here are some critical metrics to evaluate:

1.1 Incurred Claim Ratio

This is the total claim amount paid by the insurance company in ratio to the total premium amount collected in a financial year.

1.2 Solvency Ratio

This ratio measures an insurer’s ability to meet its long-term obligations. A higher ratio suggests greater financial stability.

1.3 Claim Settlement Ratio

This ratio indicates the percentage of claims settled by the insurer. A higher ratio means the insurer settles more claims. A higher claims ratio is always better for a policyholder.

1.4 Average Time to Settle a Claim

Evaluating the average time taken to settle claims can help assess the insurer’s efficiency. The higher the average time, the worse it is for policyholders.

Suggested Read: Employer Employee Insurance

2. Compare Different Health Insurance Plans

If you are looking to buy a new policy or port your existing one, you should compare different health insurance plans to make an informed decision and choose the policy that best meets your healthcare needs and financial requirements.

You can start by visiting the official websites of health insurance providers to explore their plans and features. Individuals can use online premium calculators and comparison tools available on insurer websites or insurance aggregators.

Assess the coverage offered by each plan, including inclusions and exclusions, sum insured, waiting periods, room rent limits, co-pay amounts, and network hospitals. Look for additional benefits like free annual health check-ups, coverage for pre and post hospitalisation expenses, and riders such as maternity benefits, critical illness cover, and no-claim bonus protector.

3. Evaluate the Network of Hospitals and Healthcare Providers

Evaluating the network of hospitals and healthcare providers is crucial when selecting a health insurance plan. A strong network ensures access to quality care, cashless treatment, convenience in admissions, cost-effective services, emergency care, streamlined claim settlement, and the ability to choose from a range of hospitals based on individual needs and preferences.

Studying the network of hospitals also allows individuals to choose healthcare providers that align with their preferences, such as proximity to their residence, reputation, quality of services, cashless treatment and specialised treatments available.

4. Seek Professional Advise 

Seeking professional advice when buying health insurance is crucial to making an informed decision and selecting a plan that meets your specific healthcare needs and financial requirements. Professionals can guide you through the process, help you understand the coverage options, and ensure that you have the right protection in place.

Seeking professional advice can prevent common mistakes when buying health insurance, such as underestimating your healthcare needs, overlooking important coverage details, or choosing a plan that does not fit your budget.

Also, Read: What is Workmen Compensation Policy?

5. Review Policy Terms and Conditions

By carefully reviewing the policy terms and conditions before buying health insurance, you can ensure that you have a clear understanding of the coverage, exclusions, procedures, and requirements of the policy, enabling you to make a good decision and maximise the benefits of your health insurance plan.

Familiarise yourself with the claim procedures outlined in the policy and know the documents required to file a claim, the time limits for claim submission, and the process for cashless hospitalisation at network hospitals.

6. Insurer Reviews and Customer Ratings

When buying health insurance, it is crucial to review insurer reviews and customer ratings to gain insights into the reputation, service quality, and customer satisfaction levels of insurance companies.

7. Consider Additional Features

When purchasing health insurance, it is essential to consider additional features beyond basics. Here are some key additional features to consider:

7.1 No Room Rent Restrictions

Opt for a policy that does not impose room rent restrictions, allowing you to choose a hospital room without financial constraints.

7.2 No Co-payment Clause

Look for a policy that does not include a co-payment clause, where you are required to pay a percentage of medical expenses out of pocket. A policy without co-payment offers full coverage without additional costs.

7.3 No-claim Bonus

Choose a policy that offers a significant no-claim bonus, rewarding you with a bonus on the sum insured for every claim-free year.

7.4 Restoration Benefit

Consider a policy with a restoration benefit that reinstates the entire sum insured if it gets exhausted within a policy year.

7.5 Short Waiting Periods

Opt for a policy with short waiting periods for pre-existing conditions, ensuring quick coverage for existing health issues after the waiting period is over.

7.6 Daycare Treatments 

Choose a policy that covers daycare treatments, which do not require 24-hour hospitalisation.

Factors to Consider When Choosing a Health Insurance Company in India

1. Claim Settlement Ratio and Its Importance

Claim Settlement Ratio (CSR) is a critical metric in the insurance industry that indicates the percentage of claims settled by an insurer compared to the total claims received in a financial year. A high CSR signifies that the insurance company has a strong track record of settling claims, instilling confidence in policyholders regarding the insurer’s credibility and trustworthiness.

CSR also reflects the insurer’s financial strength and ability to fulfill its claim obligations. A consistently high CSR indicates that the insurer has the financial capacity to pay out claims promptly and in full, ensuring policyholders receive the benefits they are entitled to. Look for the Claim Settlement Ratio alongside other parameters before finalising the service provider.

2. Solvency Ratio and Financial Stability of the Company

When selecting health insurance, it is crucial to consider the solvency ratio of the insurance company as it directly reflects the financial stability and reliability of the insurer. The solvency ratio indicates the excess of assets over liabilities and other obligations of the insurer.

A high solvency ratio signifies the stability, reliability, and long-term financial security of the company. The Insurance Regulatory and Development Authority of India (IRDAI) mandates a minimum solvency ratio of 150% for insurance companies to lower risks and ensure financial stability.

Also, Read: Top 10 HealthTech Startups in India

3. Network Hospitals (In-Patient and Out-Patient Facilities)

When choosing health insurance, considering network hospitals (both in-patient and out-patient facilities) is crucial as it directly impacts the convenience, cost, and quality of healthcare services available to policyholders.

Having access to a wide network of hospitals ensures convenience and accessibility to healthcare services. Policyholders can choose from a range of network hospitals, including reputed medical facilities, for their treatment needs.

4. Coverage Options (Hospitalisation, Cashless Treatment, Critical Illness)

When short-listing a provider of health insurance, it is important to consider the various coverage options available, including hospitalisation, cashless treatment, and critical illness coverage. Look for plans with comprehensive hospitalisation coverage and minimal exclusions to ensure you are adequately protected.

Also, make sure that critical illness insurance provides coverage for specific life-threatening illnesses like cancer, heart attack, stroke, kidney failure, and more.

Quick Read: Top 5 Telemedicine Apps in India

5. Policy Exclusions and Limitations

When taking a health insurance policy, it is crucial to understand the policy exclusions and limitations to ensure you are aware of what is not covered by the insurance plan. Most health insurance policies exclude coverage for pre-existing diseases or medical conditions that policyholders already have at the time of purchasing the policy.

These conditions are typically covered after a waiting period of 2-4 years, depending on the insurer. Also, study if pregnancy and maternity, dental, hearing and vision are covered. Health insurance policies may exclude coverage for congenital diseases or conditions present at birth, as well as self-inflicted injuries.

Quick read: Common exclusions in group health Insurance

6. Customer Service Reputation and Claim Process Ease

By considering the customer service reputation and the ease of the claim process when buying health insurance, you can choose a provider that offers reliable support, transparent processes, and a commitment to customer satisfaction.

This ensures that you have a positive experience with your health insurance provider and can focus on your health and well-being without worrying about the hassles of claims and customer service.

7. Premium Affordability

Premium affordability when buying health insurance is determined by the percentage of the premium in relation to the individual or household income.

Understanding the affordability criteria set by the insurer or employer is essential to ensure that the health insurance premium remains manageable and fits within the budget constraints of the policyholder. The balance between affordability and needs, without compromising on health coverage.

Why Choose Onsurity for Group Health Insurance? 

Onsurity stands out as a preferred choice for employee group health insurance plans due to several key reasons: 

1. Comprehensive Coverage 

Onsurity offers inclusive coverage that caters to in-patient hospitalisation, daycare treatment, pre- and post-hospitalisation expenses, and more.  

2. Customised Wellness Benefits 

Onsurity provides not only health coverage but also life insurance and personal accident coverage under one membership. This tailored approach ensures that the team’s unique needs are addressed effectively. 

3. Exciting Discounts 

Employees can benefit from discounts of up to 20% on medicines and up to 65% on diagnostic tests with a plan from Onsurity. These discounts make healthcare more affordable and accessible for employees. 

4. Digital & Paperless Process 

Onsurity offers a 100% paperless process, making it convenient and efficient for employers and employees to manage healthcare benefits. The digital platform ensures a seamless experience for all involved. 

5. End-to-End Claims Assistance 

Onsurity provides dedicated end-to-end claims assistance, simplifying the claims process for employees and ensuring timely reimbursements. This support enhances the overall experience of using the health insurance policy. 

Conclusion 

It’s important to note that the ranking of top 10 health insurance companies can vary based on different factors such as claim settlement ratio, network of hospitals, financial stability, and customer service.  

Policyholders should carefully evaluate various factors and their specific needs before choosing a health insurance plan. Also, the ranking of the top health insurance companies may keep changing frequently as the various parameters need to be revisited frequently. 

FAQs: