India’s healthcare system is advancing at breakneck speed — AI-assisted diagnostics, robotic surgeries, and state-of-the-art hospitals. But beneath this is a grim reality: the surging cost of surgeries. Recent analysis by Policybazaar of medical expenses between 2013 to 2025 reveals that the cost of procedures has increased by 250–300 percent.
A sombre picture
The costs of high-end surgeries for the critically ill are crushing. These are not regular procedures, but life-saving, urgent interventions. For many, these costs can mean having to sell property, liquidating retirement savings, or taking on debt.
| Surgery/procedure | Year-on-year costs (in Rs lakh) | |||||||||||
| 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
| Cancer | 13.5 | 15.1 | 16.6 | 18.8 | 21.4 | 23.8 | 26.2 | 30.1 | 34.6 | 39.4 | 44.6 | 50.8 |
| Heart transplant | 9.8 | 10.8 | 12.1 | 13.3 | 14.6 | 16.2 | 17.8 | 20.5 | 23.6 | 26.4 | 29.9 | 34 |
| Liver cirrhosis (transplant) | 7 | 7.7 | 8.6 | 9.5 | 10.4 | 11.6 | 12.7 | 14.7 | 16.9 | 18.9 | 21.3 | 24.3 |
| Kidney transplant | 5 | 5.5 | 6.2 | 7 | 7.7 | 8.5 | 9.3 | 10.8 | 12.4 | 14.1 | 15.9 | 18.2 |
Moreover, even routine procedures can now burn a hole in the pocket. For example, surgeries that affect the quality of life and mobility. Even their costs have surged beyond what most middle-class families budget for healthcare.
| Surgery/procedure | Year on year costs (In Rs Lakh) | ||||||||
| 2016 | 2017 | 2018 | 2019 | 2020 | 2022 | 2023 | 2024 | 2025 | |
| Cataract | 0.35 | 0.4 | 0.45 | 0.52 | 0.62 | 0.83 | 0.97 | 1.11 | 1.26 |
| Appendectomy | 0.45 | 0.52 | 0.58 | 0.67 | 0.77 | 1.04 | 1.22 | 1.39 | 1.58 |
| Hernia surgery | 0.4 | 0.46 | 0.52 | 0.59 | 0.69 | 0.92 | 1.08 | 1.23 | 1.41 |
| Knee replacement | 2 | 2.3 | 2.6 | 2.96 | 3.44 | 4.62 | 5.41 | 6.17 | 7.03 |
| Angioplasty | 0.7 | 0.81 | 0.91 | 1.04 | 1.2 | 1.62 | 1.89 | 2.16 | 2.46 |
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Why are surgery costs increasing so sharply?
Medical costs have surged because of multiple reasons.
● Inflation: healthcare inflation has been higher than general inflation, contributing to the rising costs of treatments and surgeries. As with most industries, medical supplies and the costs associated with running healthcare facilities, including salaries of skilled professionals, contribute to rising prices.
● Technology and equipment: advanced medical technologies and use of state-of-the-art equipment in procedures like knee replacements (robot-assisted, minimally invasive techniques) and laser cataract surgeries can push costs higher.
● Increased demand: as the population ages, there is greater demand for knee replacements, cataract procedures, etc. This also leads to higher prices.
● Hospital infrastructure: high-end private hospitals offering top-tier services, luxury care, and premium amenities generally charge significantly more than government hospitals or smaller clinics.
● Chronic diseases are on the rise: India now sees one in four deaths from cardiovascular diseases, and the incidence of cancer is growing. These aren’t anomalies, they’re patterns — and treating them is becoming more expensive.
● Imported inputs = high bills: implants, prosthetics, and even surgical tools are often imported, making them subject to currency fluctuations, duties, and international pricing.
Also read: Caesarean procedures rise sharply, comprise 72.5% of deliveries in private hospitals: Study
The real cost of medical treatment
When families can’t afford a surgery:
● They delay care, often worsening prognosis.
● Take loans or exhaust their savings.
Healthcare without insurance pushes households into a vicious cycle of health shocks and financial ruin.
Health insurance is critical
Around 75 percent of Indians pay for medical services from their pocket. They are not covered by any government or private health insurance scheme.
Here’s how insurance helps deal with medical expenses:
● Cashless hospitalisation: individuals don’t have to scramble for funds during emergencies.
● Covers advanced treatments: including organ transplants, chemotherapy, and robotic surgeries.
Additionally, premium health plans today cover pre-existing conditions, OPD visits, second opinions, mental health, and even home healthcare.
You can’t control when illness strikes. But you can control how prepared you are. In a country where a single heart surgery can cost more than a year’s salary, adequate health insurance is critical. And as medical costs rise, so must the coverage.
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