Medical costs in India are seen to surge by 13.2% in 2025. Meanwhile, 2024 is projected to jump by 12.5%, amidst rising healthcare demand, higher pharmaceutical and medical technology costs, and broader economic conditions.
Insurers are likely to adjust premium rates to counter the impact of escalating medical costs and sustain profitability. For 2025, rates Last year saw 10.4%, according to WTW survey of insurers.
Asia-Pacific is also slated to rise by 12.3% in 2025, thanks to rising health service usage, escalating pharmacy costs, and the adoption of new medical technologies are driving the surge.
Medical inflation in India is projected to range between 10% and 15% in 2025, continuing the upward trend of recent years.
India continues to grapple with a high prevalence of diabetes and cardiovascular diseases, along with a growing incidence of cancer in recent years.
Significant changes in cancer-related coverage were observed in 2024, with an increased emphasis on early detection, innovative treatments, and expanded insurance options.
A notable trend is the inclusion of genetic testing for cancer risk assessment in insurance policies for high-risk individuals, enabling early detection and personalised treatment planning.
This development reflects a shift toward more comprehensive and proactive healthcare solutions in the Indian market. Insurance Asia