The COVID-19 pandemic has ignited an awakening to health and its paramount importance. This crisis served as a catalyst, magnifying awareness about health and driving a surge in the recognition of the vital role of health insurance. But would you believe that most individuals are not adequately covered for health-related emergencies. ACKO, India’s tech-first insurance company, reveals surprising data in its new report, ‘The ACKO Health Insurance Index’.

The report surveyed 1000 respondents across six metros Indian cities between the ages of 28 and 55 and identified that 60% of the respondents feel they understand the terms and conditions of their health insurance policy. However, the assessment of policyholders’ comprehension of terms and conditions highlighted limited awareness of only three crucial features – cashless treatment (53%), accident covers (50%), and 100 percent bill payment (45%).

Is India adequately covered for future medical emergencies?

Worryingly, Indians have revealed themselves to be underinsured. 68% policyholders surveyed only have a medical cover of under Rs. 10 lakh, with 27% having medical cover under Rs. 5 lakh. What’s more, 64% have not increased their coverage from the previous year. 61% of potential buyers are not looking at buying health insurance with a sum insured over Rs. 10 Lakh and 65% stated that coverage of upto Rs. 10 lakh is adequate. Therefore, it is evident that Indians are putting themselves at considerable financial risk by not opting for a sufficient cover.

Health Insurance Expectations

100% Bill Payment: Over 46% of policyholders believe that their health insurance policy will cover the entire bill of hospitalization along with consumables. Similarly, 59% of potential buyers are actively looking for a health insurance policy that offers 100% bill payment.

Waiting Periods: 31% of policyholders believe that they are covered by their health insurance policy from day 1 while 27% have stated that there are no waiting periods in the health insurance policies.

Family Floater Plans: The most popular health insurance policy amongst both potential buyers and existing policyholders are Family Floater Plans. 71% of policyholders and 72% of potential buyers would opt for a family floater plan since it allows them to add their parents, spouse, and children to the same policy without having to buy separate policies.