IRDAI's 10% Cap on Senior Health Premiums Sparks Insurer Confusion

Health insurers are seeking clarity from the Insurance Regulatory and Development Authority of India (IRDAI) regarding the recently imposed 10% annual premium hike cap for senior citizens' health insurance policies. The new regulation, effective January 30, 2025, aims to protect vulnerable seniors from steep premium increases. However, insurers are uncertain about how this cap applies to long-term policies and cumulative increases upon renewal. The industry is requesting guidance on whether the 10% limit applies annually or allows for larger increases after multi-year policy terms.
Source: The Economic Times