The General Insurance Council (GIC) has agreed to form a working group to advance insurance coverage for long-term senior healthcare, as India’s ageing population creates growing financial needs for assisted living, rehabilitation and caregiving.
The decision was taken at a GIC meeting in Mumbai held with members of the Confederation of Indian Industry (CII) Senior Care Committee.
Senior care and insurance experts highlighted gaps in traditional health insurance, which was not designed to cover several long-term care requirements.
Working group to frame phased approach
The proposed framework will initially explore long-term care (LTC) and cognitive-impairment riders on existing health insurance policies.
The group will also examine standalone LTC and assisted-living insurance products over a two-to-three-year period, potentially expanding coverage for services such as dementia and cognitive care and daily caregiving support.
Focus on elderly-friendly insurance
The framework is expected to link coverage to licensed and accredited senior care facilities while simplifying claims processes for elderly and cognitively impaired patients.
The industry will also explore premium incentives and tax-linked support to improve affordability and encourage wider adoption of long-term care insurance.
Industry seeks financial predictability
“Recognising long-term care as a distinct insurable risk can help bridge this gap and give families greater financial predictability,” said Athulya Senior Care, Founder and Managing Director and Chairperson, CII Committee on Senior Care, R. Karthik Narayan.
The working group marks a shift from a proposal to an active industry effort, with the initiative potentially reshaping the way senior care is financed and insured in India.