• 11 March, 2023

India’s Retail Health Insurance market to touch USD 25 billion in next 5 years -study

According to a thought paper released by Avendus Capital, one of India’s largest Investment Banking franchise, on India’s Retail Health Insurance market has said that the India’s Retail Health Insurance market to touch USD 25 billion in next 5 years. The Health Insurance sector in India has disrupted the insurance market growing at a rapid pace to become the largest non-life insurance segment in FY22. As per the thought paper, With 45 per cent of India’s relevant population devoid of any health coverage, this segment is expected to be the leader among other non-life segments. "Low penetration (with only 60 million individuals covered), coupled with COVID led rise in awareness, product innovation, rising disposable income etc. are some of the key catalysts for growth in the Retail Health segment, where coverage is expected to reach 250 million individuals, leading to keen investor interest over the past few years,"

A latest study by Avendus Capital points out that the Retail Health segment is expected to witness continued investor interest backed by multiple growth tailwinds and offer the ability to generate return on equity of 20per cent+. With 45 per cent of India’s relevant population devoid of any health coverage, Retail Health Insurance is expected to be the leader among other non-life segments, it added.