Hansa Research’s latest survey reveals faster growth in India’s health insurance sector, driven by concerns over rising medical costs, but customer loyalty wanes due to service and claims issues, highlighting a disconnect between industry growth and consumer satisfaction.
Hansa Research’s latest Health Insurance CuES survey suggests India’s health insurance market is growing faster than the experience many customers receive. The consumer insights firm said financial protection against rising medical bills is now the main reason people buy cover, cited by 54% of respondents, up from 48% a year earlier. But the industry’s net promoter score, a standard loyalty measure, slipped to 50% from 55%, indicating that expectations are rising even as service delivery struggles to keep pace.
The report, based on feedback from 4,000 respondents across more than 12 brands, put Tata AIG at the top of the rankings with an NPS of 59%. ICICI Lombard followed on 55%, with Bajaj Allianz in third place on 54%. Hansa Research said Tata AIG stood out for trust, innovation and responsiveness, while broader brand strength still depends on transparency, ease of dealing, digital capability and hospital access.
Claims remain the most sensitive point in the customer journey. Hansa Research said four in 10 policyholders who filed claims reported at least one problem, with network-related issues, delayed payments and pre-authorisation delays among the most common complaints. At the same time, most claimants said their cases were processed within two weeks, suggesting that speed is improving even if the experience remains uneven. The report also found that consumers are taking more ownership of their cover, with 32% using extra policies to fill gaps in employer-provided plans.
The findings echo wider concerns across insurance about whether technology is improving service in ways customers can feel. KPMG has argued in a separate study of US health insurers that heavy investment in artificial intelligence and other tools does not automatically translate into better growth, lower costs or higher satisfaction. In India, Hansa Research said younger customers are increasingly turning to mobile apps and self-service platforms for renewals and claim tracking, but insurers still need to address premium transparency, hospital network quality and clearer communication if they want to strengthen retention and trust.
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