Surge in Women's Health Insurance Claims in India Driven by Maternity Costs

Recent data reveals a 37% increase in women's health insurance claims in India, primarily due to rising maternity costs and a shift towards institutional deliveries. The report highlights that the 20-40 age group is a key driver of this trend, with Tier 2 and Tier 3 cities contributing significantly to maternity claims. Despite improvements in delivery efficiency, costs associated with maternal care continue to rise, indicating a growing financial burden. This article delves into the evolving landscape of maternal healthcare and the implications for women's health insurance in India.

By Narendra Chaudhary May 10, 2026, 13:03 IST

Significant Increase in Claims

In India, claims related to women's health insurance have seen a notable increase of 37% from FY25 to FY26. This surge is primarily attributed to escalating maternity expenses and a rise in hospital-based maternal care, as reported by Care Health Insurance. The demographic of women aged 20 to 40 is particularly influential in this trend, with their claims rising by 25% during the same timeframe. Notably, Tier 2 and Tier 3 cities are contributing significantly to this growth, accounting for 60% of all maternity claims reported by the company. Overall, the expenditure on maternity claims has increased by 25% over the past two years, despite fluctuations in claim volumes, indicating a trend towards higher spending per case.

Institutional Deliveries on the Rise

Deliveries Becoming Increasingly Institutionalized

Data from the Ministry of Health and Family Welfare reveals that approximately 88-90% of births are now taking place in institutional settings, with the share of institutional deliveries reaching 97.3% in 2023-24. This marks a significant shift towards formal, hospital-based maternal care. Additionally, government statistics from 2025 indicate that C-section deliveries constituted over 27% of all births in India during 2024-25, underscoring the trend towards more medically intensive maternity care. Although the efficiency of institutional deliveries has improved, the percentage of women discharged within five days post-delivery has risen from 75% in FY24 to 82% in FY26. However, this shorter hospital stay has not led to reduced costs; instead, there has been an upward trend in the financial burden associated with maternal treatment.

Increasing Financial Exposure in Maternal Healthcare

Rising Cost Intensity

The report from Care Health Insurance emphasizes a significant transformation in maternal healthcare, characterized by increasing cost intensity and changing care patterns that lead to greater financial exposure. This conclusion is supported by broader public health data, which shows that a majority of women in India are utilizing formal antenatal care services. However, three out of four women still experience inadequate dietary iron intake, highlighting ongoing nutritional deficiencies and long-term health risks that extend beyond maternity care.