Health insurance firms have invested in innovative technologies
The Indian health insurance market is expected to reach Rs.2,517.90 billion by FY2027, expanding at a CAGR of ~5.12% during the FY2021-FY2027e period, according to a ResearchAndMarkets report on 10 Oct 2022.
It was valued at Rs.1,886.25 billion in FY2021, said the report, pointing out that nearly 950 million individuals (or 215 million families) are eligible for health insurance.
However, the actual coverage is low since not all households eligible for government-subsidized insurance are covered at present. Also, there are overlaps between different health insurance schemes, the report pointed out.
Since government-subsidized schemes are expected to cover the eligible population, the potential health insurance coverage is of 70% (based on the existing landscape).
Technology can help in optimizing processes, reducing costs and expanding the customer base of market players.
Health insurance firms have invested in innovative technologies such as automation, AI and big data, said the report.
Internet of Things (IoT) helps in deriving extensive data and insights to curate risk management tools and systems. Furthermore, it helps in strengthening customer information repository, enabling firms to offer timely and pertinent coverage based on individual needs.
As IoT can generate large volumes of client data, brokers also offer additional value-added services through data analysis and management.
Emerging health insurance companies occupy the highly competitive health insurance space.
With high demand, at present public and private players are aiming at increasing their offers and improve the quality of service, to dominate the market.
The players are focusing on scaling up their businesses and portfolios to address the high potential of the market, said the report.
The sector is led by:
Aditya Birla Health Insurance Limited
Bajaj Alliance General Insurance Limited
Care Health Insurance
Edelweiss General Insurance Limited
IFFCO Tokio General Insurance Company Limited
ICICI Lombard General Insurance Company Limited
Magma HDI General Insurance Co Ltd.
Niva Bupa Health Insurance Company Limited
Reliance General Insurance Company Limited
Tata AIG General Insurance Company Limited. fiinews.com
