health insurance is meant to provide peace of mind during medical emergencies. But in india, many policyholders often face the opposite — frustration, delays, and outright rejections when it’s time to make a claim. FY24 complaint data from IRDAI and company reports reveal a telling picture: even the biggest names in the sector are struggling with customer grievances. Here are the top five insurers with the highest complaints, and why you must tread carefully before signing on the dotted line.
1. Star health – 13,308 Complaints
With assets of ~₹18,054 crore and around 2.6 million policies covering 170 million lives, Star health dominates the retail health insurance market. But it also tops the complaint chart with 13,308 grievances in FY24. While scale explains part of it, customers frequently report issues around claim approvals, hidden exclusions, and delays.
2. CARE health Insurance – 2,511 Complaints
CARE health, with an estimated asset base of ₹7,000 crore and ~1.2 million policies, logged 2,511 complaints. Though smaller than Star, the relatively high complaint volume raises red flags about transparency and service quality.
3. Niva Bupa health Insurance – 2,511 Complaints
Matching CARE, Niva Bupa also had 2,511 complaints in FY24. With ₹5,458 crore in assets and 2.4 million policies, the company is growing rapidly — but customers often cite dissatisfaction with claim processing and network hospital coordination.
4. National Insurance – 2,196 Complaints
As one of India’s oldest state-owned insurers, National Insurance has assets of ~₹30,000 crore and about 1 million health policies. Yet, 2,196 complaints suggest that legacy inefficiencies and red tape continue to plague customer service.
5. New india Assurance – 1,602 Complaints
The country’s largest general insurer, with a massive asset base of ~₹95,910 crore and about 2 million health policies, received 1,602 complaints. While lower than its peers, given its size and reputation, the number remains significant.
⚠️ The Takeaway: Don’t Blindly Trust the Brand
These numbers send a clear warning: a big brand doesn’t guarantee a smooth claims experience. Insurance is a business, and companies often prioritize financial prudence over customer convenience. Policyholders should:
Read the fine print on exclusions.
Check hospital network coverage.
Compare claim settlement ratios, not just premiums.
Keep proper documentation for every medical expense.
Remember: insurance is only as good as its claim service. Choosing carelessly today could cost you dearly tomorrow.
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