Mumbai: Health insurance companies saw a sharp increase in premium income in October, outpacing the general insurance industry. Standalone health insurers reported a 38.30% year-on-year growth in gross direct premium, while the overall general insurance industry expanded 5.29% during the month, according to data from the General Insurance Council.
The growth momentum in health insurance followed the government's decision to exempt individual health insurance policies from goods and services tax (GST) with effect from September 22, which made such policies more affordable and spurred demand across the retail segment.
Among standalone health insurers, listed Star Health and Allied Insurance grew 22.5% year-on-year in October, while Niva Bupa saw a 66.55% growth.
At the same time, growth in motor insurance slowed, while property and other segments such as home insurance saw a dip in premiums, industry executives said.
Among major general insurers, ICICI Lombard reported a 16% increase in premium income. Bajaj General Insurance saw a 50.51% decline, while HDFC ERGO recorded a 14.97% drop in premiums for the month. New India Assurance, the listed public sector general insurer, posted a 17.6% growth, while other state-owned insurers grew broadly in line with the industry average.
In the life insurance segment, the immediate impact of GST exemption across companies was not seen as life insurance policy sales generally pick up after the festive season.
The growth momentum in health insurance followed the government's decision to exempt individual health insurance policies from goods and services tax (GST) with effect from September 22, which made such policies more affordable and spurred demand across the retail segment.
Among standalone health insurers, listed Star Health and Allied Insurance grew 22.5% year-on-year in October, while Niva Bupa saw a 66.55% growth.
At the same time, growth in motor insurance slowed, while property and other segments such as home insurance saw a dip in premiums, industry executives said.
Among major general insurers, ICICI Lombard reported a 16% increase in premium income. Bajaj General Insurance saw a 50.51% decline, while HDFC ERGO recorded a 14.97% drop in premiums for the month. New India Assurance, the listed public sector general insurer, posted a 17.6% growth, while other state-owned insurers grew broadly in line with the industry average.
In the life insurance segment, the immediate impact of GST exemption across companies was not seen as life insurance policy sales generally pick up after the festive season.
