IRDAI limits annual health insurance premium hikes for senior citizens to 10%

The regulation follows concerns over sharp premium increases, which have been particularly challenging for seniors with limited income sources.

Effective immediately, insurers are now limited to increasing premiums for senior citizens by no more than 10 percent annually, according to a press release by the Insurance Regulatory and Development Authority of India (IRDAI) dated January 30.

This move is aimed at curbing rising health insurance premiums for senior citizens and ease their financial burden, especially as they face steep hikes due to age and healthcare needs, the release said.

The regulation follows concerns over sharp premium increases, which have been particularly challenging for seniors with limited income sources.

IRDAI's directive has mandated that insurers must consult with the authority if they propose an increase over the 10 percent cap or intend to withdraw any health insurance products for seniors.

This ensures transparency and prevents abrupt changes that could leave seniors without necessary coverage, the release said.

Additionally, insurers are required to publicise the measures they take for the benefit of senior citizens, enhancing awareness of the available protections.

They are also instructed to work towards standardising hospital empanelment and negotiating package rates to control costs, like the approach under the Pradhan Mantri Jan Arogya Yojana (PMJAY) scheme, it said.

IRDAI will continue to monitor the insurance market closely, particularly focusing on how these new guidelines are implemented concerning senior citizens' health insurance products.