As we approach the final quarter of 2023, it is vital for insurance professionals to understand performance of the Health insurance in India to understand industry performance. Health insurance has maintained its leadership in terms of sales amongst entirety of insurance products being sold in India. A detailed analysis of Year-To-Date (YTD) performance until September 2023 reveals noteworthy trends, growth rates, and the market share distribution among insurers.
1. Impressive Underwriting Performance: The non-life insurance industry has underwritten a substantial Gross Domestic Product (GDP) of Rs 54,030 Crores under the Health segment as of September 2023. This marks a notable growth rate of 24.43%, surpassing the YTD September 2022 GDP of Rs 43,421 Crores, which exhibited a growth rate of 17.92%.
2. Insurer Landscape: A total of 29 insurers have actively participated in underwriting Health insurance business during the YTD September 2023 period. However, it's noteworthy that three insurers (IFFCO Tokio, Navi General Insurance & one more) have registered negative growth rates under the Health segment
3. Contribution to Non-Life Insurers' GDP: The Health segment has emerged as a significant contributor, constituting 37.57% of the total Non-Life Insurers' GDP YTD September 2023. This marks a substantial increase from the 34.68% contribution observed during the same period in 2022.
4. Market Leaders: NewIndia has asserted its dominance as the largest insurer in the Health segment, commanding a market share of 17.83%. It is closely followed by Star, with a market share of 12.18%, and Oriental, holding 8.07%. The combined market share of these top three insurers stands at 38.08%, exhibiting a growth rate of 10.32%.
% wise GDP for top 5 insurer's in respect to Health GDP is as given below
5. Dominance of Key Players:
Eight insurers boast a market share of over 5% of the total health GDP YTD September 2023, collectively commanding an impressive 72.00% market share with a growth rate of 29.41%.
6. PSU vs. Private General Insurers:
Within the health segment, PSU General Insurers hold a combined market share of 40.41% as of September 2023, showcasing a growth rate of 9.92%. This reflects a marginal decrease from 45.75% market share in 2022 with a growth rate of 11.30%. On the other hand, Private General Insurers have seen a surge, securing a combined market share of 33.40% in 2023, with an impressive growth rate of 45.97%, up from 28.47% in 2022 with a growth rate of 22.35%.
7. Standalone Health Insurers:
Standalone Health Insurers have maintained their market presence, holding a combined market share of 26.19% YTD September 2023, with a growth rate of 26.41%. This is a slight increase from 25.78% market share in 2022, accompanied by a growth rate of 26.18%.
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