In a recent report by Policybazaar for Business (PBFB), it was revealed that individuals aged 25-35 are filing the highest number of insurance policy claims. This age group, typically considered the early years of adulthood, seems to be tapping into their insurance policies more than any other demographic.
According to Survey - Key reasons for making the highest insurance claims according to the Policybazaar Report
Maternity Claims
The report highlights that the rise in claims within this age group is primarily driven by maternity coverage. It also notes a significant increase in claims from women, who now account for 60% of the total claims, while men contribute to 40% of the claims.
Rising Lifestyle-related diseases
Male employees in the 35-45 age group are making the highest claims, which reflects a growing trend in lifestyle-related health issues. Cardiovascular diseases, respiratory disorders, and joint problems are among the leading causes of repeat claims under the employee's claim categories.
Rising Health Care Cost
Healthcare costs have been rising due to the high cost of healthcare services in private hospitals and expensive medical procedures.
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The demand for Health Insurance
Observing the trends, Sajja Praveen Chowdary, Director at Policybazaar for Business, said, "The evolving trends in group health insurance claims highlight the rising cost of medical care and the need for efficient claim processing."Companies with operations in Tier 1 cities are opting for higher sum insured policies to protect employees from out-of-pocket expenses.
Tier 2 and Tier 3 cities employers are exploring co-payment and deductible models to keep insurance premiums manageable while maintaining adequate coverage. Employees working in industries involved in physically difficult roles like manufacturing, construction, transport, and logistics stand on top of group insurance claims.
What Does This Mean for Insurers?
Customized Products for the 25-35 Demographic
Insurers must offer products that reflect the varied needs of this diverse cohort—whether it’s offering health insurance with mental health coverage or auto insurance with accident forgiveness for first-time drivers.
Offer the Best Claim Processing and Support
The digital nature of today’s insurance claims means customers expect quick responses and seamless processing. A positive experience in claim handling can build long-term trust with this generation, leading to customer loyalty.
Focus on Preventative Measures
Given that lifestyle-related claims are on the rise, insurers should consider promoting preventative health measures. Offering discounts or incentives for customers who maintain healthy habits, like regular health check-ups, gym memberships, or a clean driving record, could help reduce the frequency of claims in the long term.
Some of the best health insurance plans for the age group of 25-30 Years
Individual Health Insurance Plan
An individual health insurance policy is designed to cover a single person, addressing all the policyholder’s specific health needs. These plans typically offer a wide range of coverage, including cashless hospitalization, daycare treatments, road ambulance services, pre- and post-hospitalization expenses, and no-claim benefits, among other valuable features.
Family Floater Plan
A family floater plan provides coverage for the entire family under a single policy, allowing all members to share benefits from a larger pooled amount. This makes it a cost-effective option for families, ensuring everyone has access to the same benefits.
Critical Illness Health Insurance Plan
Critical illness insurance offers financial protection against life-threatening conditions like cancer, heart attack, kidney failure, paralysis, and other severe illnesses.
Health Insurance through employers
Health insurance through employers provides employees with coverage for medical expenses as part of their benefits package. It typically offers group plans at lower premiums due to the larger pool of insured individuals.
To sum up
The findings from Policybazaar’s report reveal a clear trend: individuals aged 25-35 are filing the highest number of insurance claims. This is not just a reflection of their higher purchasing rates but also an indication of their changing life circumstances and increased awareness of insurance. As they face new challenges and responsibilities, this group is turning to insurance as a way to protect their future. This growing trend of insurance adoption is paving the way for a more secure and well-covered future, driving greater insurance penetration across the country.
