Delhi tops pollution-linked health insurance claims; children hit hardest, Policybazaar data shows

Rising health insurance claims in children because of air pollutioRising health insurance claims in children because of air pollutionn

As several parts of the country witness worsening air quality, new data from Policybazaar revealed a serious spike in pollution-related health claims and rising toll on household finances.

Data collected from five major cities comprising 4 lakh claims from 2022 to 2025 November showed children at the forefront bearing the brunt of air pollution, with 43 percent of overall pollution-related claims filed for those under 10 years old, while adults aged between 31-40 years account for 14 percent, and those over 60 years make up 7 percent.

Delhi leads the chart with 38 percent of the share from the overall pollution-related claims, followed by Hyderabad with 8.34 percent, Bengaluru with 8.23 percent, Pune with 7.82 percent, and Mumbai with 5.94 percent. The air quality index (AQI) in these five cities deteriorated from moderate to severe levels, driven by stubble burning, fireworks, and stagnant winter air.

While the majority of the claims were related to respiratory tract-related ailments, as well as asthma, chronic obstructive pulmonary disease (COPD), arrhythmia, hypertension, eczema, conjunctivitis, pregnancy complications, allergies, and sinusitis.

Post-Diwali claims rise vis-a-vis treatment cost

Data analysed by the insurance aggregator show that the average claim size for pollution-related ailments was at Rs 55,263, with an average hospitalisation cost of Rs 19,076 per day. The report suggests that the medical costs for pollution-related ailments are marginally lower than to medical costs for non-pollution cases at Rs 61,319.

This, however, doesn’t mean that pollution-related ailments have become cheaper as pollution-related ailments usually require longer hospital stays and more intensive interventions such as oxygen therapy and nebulization.

In fact, the treatment cost for respiratory illnesses has increased by 11 percent and cardiac complications by 6 percent in FY 2024, the report said.

Furthermore, there has been a constant rise of pollution-linked claims, especially during and after the festive season between late October and early December. India’s AQI levels usually deteriorate from “moderate” to “severe”, largely driven by stubble burning, fireworks, and stagnant winter air.

The report that analysed data of the last four years of pollution-related claims shows that 7.6 percent of claims were made during the pre-Diwali season this year. In 2024, 8.2 percent cof laims were filed before Diwali and 9.3% after the festive season. Similarly, the year 2023 accounted for 8.7 percent of claims during pre-Diwali and 8.9% post that period.

“Every post-Diwali season, we see pollution causing a healthcare emergency. Health insurance, especially family and OPD-inclusive covers, has become an essential safeguard during India’s pollution months,” said Siddharth Singhal, Head of Health Insurance at Policybazaar.