Irdai report shows slight drop in health insurers' claim ratio in India

The Insurance Regulatory and Development Authority of India (Irdai) has released its annual report for 2023-24, showing a slight decrease in the incurred claim ratio (ICR) for health insurers, from 88.89% to 88.15%. This marks a shift from previous years, where claim settlement ratios were reported. In the health insurance sector, insurers settled about 83% of claims, with 11% rejected and 6% pending as of March 31, 2024. The total net incurred claims reached Rs 76,160 crore, an 18% increase from the previous year. The average claim amount paid was Rs 31,086, with 72% of claims settled through third-party administrators. The report indicates that 66.16% of claims were settled via cashless methods, highlighting a trend towards more efficient claim processing.