There’s good news for health insurance policyholders across India. Major hospital groups and insurance companies have reached an agreement to not increase hospital charges in 2026.
This decision will benefit crores of people who rely on health insurance for medical treatment.
The agreement was finalized after the intervention of the Department of Financial Services (DFS).
Over the past few months, DFS held several meetings with insurance firms and hospital networks to control rising treatment costs and keep premium rates stable.
Major Hospitals Included in the Agreement
According to sources, several large hospital chains have already agreed to the deal. These include Max, Manipal, Narayana Health, Care Hospitals, and Cloudnine.
However, discussions are still ongoing with major groups like Medanta, Apollo, and Fortis, and a final agreement with them is expected soon.
Under the new arrangement, insurance companies will also avoid increasing premiums, since hospital charges are being frozen.
This means health insurance premiums are expected to remain stable throughout 2026.
In the past two years, premiums had risen by 15–25% due to COVID-19 and medical inflation.
But now, DFS has made it clear that “the burden of inflation will not be passed on to customers.”
Why DFS Stepped In and What It Means for You
In recent months, hospitals and insurance companies were in disagreement over rate revisions. Hospitals claimed that the cost of medical equipment, medicines,
and staff salaries had gone up, while insurers argued that higher hospital rates were forcing them to raise premiums, hurting consumers.
To resolve the issue, DFS (under the Ministry of Finance) stepped in and brought both sides together for three rounds of talks.
They reached a consensus that hospital rates will remain unchanged until 2026, and any future revisions will happen only after mutual review.
Currently, negotiations are still in progress with major private hospital chains such as Medanta, Apollo Hospitals,
and Fortis Healthcare, which handle a large number of cashless claims, especially in metro cities.
Officials say a final rate agreement with these hospitals will be completed in the coming weeks.
For consumers, this means no premium hike in their health insurance policies next year and no increase in hospital package rates — including room rent, doctor’s fees, surgery costs,
and pathology tests. Experts believe this move will help control unnecessary price inflation in the healthcare sector and provide financial relief to millions of families.
