Health Insurance Share Nears 41% in FY26

Health insurance continued to consolidate its position as the dominant segment within India’s non-life insurance industry in FY26, according to a report published by The Times of India. The segment’s market share rose to 40.8% from 38.6% in the previous financial year, reflecting steady expansion in its contribution to the overall non-life portfolio.

Premium collections in the health insurance segment increased by 15.4% year-on-year to approximately ₹1.4 lakh crore. This growth outpaced the broader non-life insurance industry, which recorded a comparatively lower expansion of 9.3%. During the same period, the total gross direct premium income of the non-life insurance sector stood at nearly ₹3.4 lakh crore.

Within the health insurance segment, standalone health insurers accounted for 32.7% of total premiums. These companies collectively underwrote ₹44,863.7 crore out of the industry’s total health insurance premium base of ₹1,37,144.5 crore.

In terms of individual insurer performance, New India Assurance remained the leading player in the health insurance segment, generating premiums of ₹21,531.5 crore and securing a 15.7% market share. It was followed by Star Health & Allied Insurance, which reported premiums of ₹18,435 crore and held a 13.4% share. Care Health Insurance recorded premiums of ₹9,768.4 crore, accounting for a 7.1% market share. Premium figures for ICICI Lombard and Niva Bupa Health Insurance were referenced in the report but not fully specified in the available data.

Beyond health insurance, other non-life insurance segments showed varied performance trends. Personal accident insurance emerged as the fastest-growing category, expanding by 35% year-on-year. Its market share increased from 2.8% to 3.5%, with total premiums reaching ₹11,603.7 crore.

Engineering insurance grew by 13.1%, reaching ₹6,801.5 crore and accounting for a 2% market share. Liability insurance remained broadly stable, maintaining a 1.8% share, with premiums of ₹5,993.3 crore and growth of 9.6%.

Marine insurance experienced a marginal decline in market share, falling from 1.8% to 1.7%. Despite this, premiums rose to ₹5,819.5 crore, reflecting growth of 5.7%. Aviation insurance recorded premiums of ₹1,089.3 crore and registered a slight contraction of 0.8%.

The detailed segment-wise performance of the non-life insurance industry is summarised below:

Segment Premium (₹ crore) Market Share Growth
Health Insurance ~1,40,000 40.8% 15.4%
Personal Accident 11,603.7 3.5% 35%
Engineering 6,801.5 2.0% 13.1%
Liability 5,993.3 1.8% 9.6%
Marine 5,819.5 1.7% 5.7%
Aviation 1,089.3 Not specified -0.8%

Overall, the data indicates that health insurance continues to account for the largest share of India’s non-life insurance market, both in terms of premium volume and contribution to sectoral growth in FY26, while other segments displayed mixed performance trends across categories.

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