NRIs demand for health cover zooms, floater and parental policies jump 126%, says report

• NRI health insurance in India grew 126 percent year-on-year
• Family floater, parental policies up; individual plans down 6%
• Gulf NRIs lead demand, driven by lower costs and easier access

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The health insurance outlook for non-resident Indians (NRIs) has strengthened for the year ahead, with year-on-year growth of 126 percent as of January 2026, driven largely by India’s lower medical costs compared with overseas treatment, latest Policybazaar data shows.

The data revealed that the family floater and parental coverage policies witnessed an unprecedented surge, whereas the individual plan saw a decline of 6 percent during the period. The share of family floater health policies jumped from 20 to 70 percent, while policies purchased for parents rose from 32 to 60 percent year-on-year.

Individual plans offer dedicated coverage for the insured, while family floater plans cover two–six members (including the policyholder) under a shared sum insured, and parental plans are tailored for parents or senior citizens and can be structured as either individual or floater policies.

“We’re seeing a fundamental shift in how NRIs approach health insurance in India. Our 126 percent NRI growth proves that tech has finally dissolved the borders of healthcare. With AI-telemedicals removing physical hurdles, we’re seeing a global shift — NRIs are no longer buying insurance only as a contingency for emergencies,” said Siddharth Singhal, Business Head of Health Insurance at Policybazaar.

Geography of demand

Policybazaar data noted a significant surge in health policy adoption by NRIs working in the Gulf region, with a 50 percent share, primarily driven by those living in the UAE, Saudi Arabia and Kuwait.

The report notes that while health plans for NRIs in India cost $120-$300, the cost jumps to $2,000–$3,000 in the Gulf region.  Shorter flight durations are making it easier for NRIs to access Indian healthcare services at substantially lower cost.

NRIs in European countries accounted for 25 percent of the share, while the US and Canada together contributed 17 percent, followed by Asia, New Zealand, and Africa at 8 percent.

Europe accounts for about a quarter of the market, as long wait times for non-emergency surgeries push NRIs to use Indian health insurance for faster access to quality treatment in India. High medical costs, airfare and cheaper treatment are driving NRIs based in the US and Canada to India.

“As international medical expenses skyrocket, the 40 percent cost advantage of our domestic world-class facilities is making India the global value-hub for the diaspora’s healthcare,” Singhal said.

Why NRIs choose Indian insurance for family

According to Singhal, NRIs are increasingly opting for a comprehensive healthcare solution that covers preventive care, outpatient expenses, planned treatments and long-term needs for themselves and their families, especially concierge support for ageing parents living in India.

They are moving away from basic coverage, with a notable 70 percent jump in customers opting for higher sum insured values. Also, the adoption of multi-year policies surged 19 percent, as NRIs increasingly prioritise premium lock-ins to hedge against medical inflation in India.

“NRIs accustomed to high-cost healthcare want policies that can cover advanced robotic surgeries or specialised treatments in India without any out-of-pocket expenses,” the report said. By securing two-to-three-year tenures, the diaspora is effectively freezing their healthcare costs while eliminating the friction of cross-border annual renewals.

Ageing and vision-related issues are driving higher claim volumes, especially for cataract surgeries. Dental care has also emerged as a key driver, with NRIs increasingly seeking plans that include OPD cover to avoid the steep cost of dental treatment abroad.

Most insurers are ramping up efforts to encourage NRIs to buy Indian health cover for themselves and their families, offering discounts of up to 40 percent or more, with average reductions of around 25 percent across many players.