New Delhi: Retail health insurance premium growth in India edged up to 31 per cent year-on-year (YoY) in April 2026, anchoring the non-life insurance industry's performance at the start of the fiscal year, according to a report by Kotak Institutional Equities.
The report detailed that retail health continued to anchor growth, reporting strong 31 per cent YoY growth in April 2026, following 28 per cent growth in 4QFY26 and 33 per cent growth in 3QFY26, while overall health premiums grew 21 per cent YoY in April 2026. Motor growth also remained healthy at 16 per cent YoY, supported by both motor OD (up 18%) and motor TP (up 14%).
The sector witnessed an overall moderate gross written premium (GWP) growth of 9 per cent YoY, excluding the crop segment, amid mixed performance across different commercial lines.
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The report noted that the non-life industry recorded moderate growth in April 2026, with GWP growth at 9 per cent YoY (ex-crop), primarily driven by health premiums (up 21% YoY) and motor insurance (up 16% YoY), while commercial lines such as fire and aviation remained weak.
The growth trajectory highlighted a stark divergence between private players and public sector undertaking (PSU) insurers. Standalone health insurers (SAHIs) and private general insurers continued to capture market share from their public sector counterparts.
"SAHIs and private GIs reported stronger growth than PSUs during the month. SAHIs reported robust 35 per cent yoy growth, significantly outpacing general insurers, while private players reported ~10 per cent yoy growth versus muted 2 per cent yoy growth for PSUs," the report stated.
This growth led to notable market share gains for the private segment. According to the report, "SAHI market share increasing ~200 bps yoy to 22.5 per cent and private GI market share rising ~400 bps yoy to 41.1 per cent in April 2026. Private GIs also gained share in motor insurance, with market share increasing ~280 bps yoy to 72.1 per cent."
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Within the key segments, commercial insurance lines faced headwinds during the month, particularly the fire segment, which dragged down the broader commercial portfolio due to pricing adjustments. However, the marine and engineering segments managed to buck the downward trend in commercial lines.
