The majority of Indians are underinsured – Study

About three in 10 Indians believe that health insurance coverage starts on day one.

The majority of Indians are still underinsured in their health plans, with 68% of policyholders stating they only have less than $12,000 worth of coverage.

On top of that, 64% of the surveyed said they have not increased their coverage. About 61% shared they are not interested in purchasing health insurance plans with a sum insured that’s greater than $12,000, putting them at a financial risk during medical emergencies, revealed the ACKO Health Insurance Index 2023.

In collaboration with YouGov, the survey also showed that 34% do not like the claims process due to impartial payment of the bill. Further, 31% of policyholders believe they are insured from day one.

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For those thinking of purchasing health coverage, the individuals were unsure of room renting capping (10%) and waiting periods (9%) in the terms and conditions of plans.

The study concluded that there is a huge health insurance gap in the country, entailing a lack of preparedness and knowledge. This remains an area of concern for India as it may fall back as a financial risk in times of health emergencies.

The survey was conducted amongst 1,000 individuals aged 28 to 55 years old in tier 1 cities.