Health risks are on a rising trajectory in India, however, the financial preparedness for these rising risks is still lagging, according to a new survey conducted by TATA AIG General Insurance to coincide with World Health Day which is celebrated every year on 7 April.
The survey findings reveal a growing gap between rising health risks and financial preparedness in the country. The data analysis indicates that serious illnesses are no longer confined to older populations.
Cardiac diseases are increasingly catching them young and yet financial readiness remains low. Among the surveyed doctors, 59% note that less than 40% of heart disease patients are financially prepared for advanced treatments.
The survey also found that there is a sharp rise in critical illness cases in the country. Lung cancer claims have doubled in 2025. Smoking remains the primary cause, linked to over 85% of lung cancer cases; however, worsening pollution, second-hand smoke and exposure to chemicals at work also raise the risk.
An average of 27% increase in hospitalisation costs is also noted, underscoring the escalating financial burden on households. The trend reflects not just higher disease incidence but also rising treatment expenses, making adequate health insurance coverage more essential than ever.
The gap is even more pronounced among women. While they account for nearly half of the insured population, only about 20% have adequate health coverage, with most lacking protection beyond INR20,00,000 ($21,500), a sum that is often insufficient for major illnesses such as cancer or cardiac conditions.
This underinsurance, combined with evolving disease patterns, points to an urgent need for stronger awareness, higher coverage, and proactive health planning across demographics.
In addition, encouraging timely health check-ups, and prioritising adequate insurance coverage will be key to building long-term resilience.