Reliance General Aims: Reliance General Insurance, promoted by IndusInd International Holdings Ltd (IIHL), is charting an ambitious growth path to nearly double its health insurance portfolio within the next three to four years. The insurer aims to raise the contribution of health insurance from the current 20% to around 38% of its overall portfolio by FY29, aligning its share with the broader general insurance industry average. This strategic focus will be driven largely by strong expansion in the retail health insurance segment, which the company identifies as its biggest growth opportunity.
According to Rakesh Jain, CEO of Reliance General Insurance, the health segment will become a major growth driver in the company’s portfolio as the Indian health insurance landscape undergoes transformation, boosted by policy reforms and growing consumer awareness. “Today, the health portfolio accounts for around 37–38 per cent of the general insurance industry. We are about 20 per cent. We would like to reach the industry levels over the next three-four years,” said Jain in an interview with Business Standard.
Reliance General’s renewed focus on health insurance comes at a time when the government’s nil GST rate on individual health and life insurance policies is significantly boosting customer demand and affordability. Jain expects the move to not only drive new customer acquisition but also encourage existing policyholders to opt for higher sum insured covers as premiums drop.
Strategic Shift Toward Health Insurance Growth
Expanding Retail Health Portfolio
Reliance General’s retail health segment—currently its smallest business line—is poised to lead this growth journey. Historically, Reliance General had limited exposure to retail health, as the company’s former subsidiary, Reliance Health Insurance, handled that portfolio. With the business now fully integrated, Reliance General has begun aggressively building this segment, viewing it as a young but high-potential portfolio.
According to General Insurance Council data, Reliance General Insurance wrote ₹1,593 crore in gross health insurance premiums so far in FY26, representing 22% of its total ₹6,949.7 crore portfolio. Within this, retail health insurance accounted for ₹209.42 crore, while group health stood at ₹951.97 crore.
Jain emphasized that while group medical insurance and corporate covers will continue to grow steadily, retail health will be the primary driver for expanding the company’s market share.
GST Relief Fuels Health Insurance Demand
A major catalyst behind the surge in Reliance General’s health insurance business is the removal of GST on individual health and life policies, implemented earlier in 2025. This reform has made health insurance more affordable and accessible, triggering a sharp rise in customer enquiries, conversions, and policy renewals.
The removal of GST on health policies effectively reduces premium costs by up to 18%, encouraging more people to purchase comprehensive health plans and higher sum insured options. This is expected to benefit insurers across the board, particularly those like Reliance General, which are actively scaling their retail portfolios.
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Strong Financial Position After IIHL Acquisition
Reliance General’s growth plans are being bolstered by a strengthened financial foundation following its acquisition by IndusInd International Holdings Ltd (IIHL), a part of the Hinduja Group. The insurer raised fresh capital in September 2025, in addition to the ₹200 crore infusion made during IIHL’s acquisition of Reliance Capital.
Jain highlighted that the IIHL acquisition and subsequent recapitalization have boosted investor and policyholder confidence, addressing earlier concerns linked to the now-resolved Reliance Capital crisis.
With this renewed financial strength, the company is well-positioned to pursue its goal of growing faster than the industry average over the next few years.
Diversification Beyond Health Insurance
While health insurance remains the key focus, Reliance General also plans to expand in other emerging lines of business, including:
- Liability insurance
- Surety and bid bonds
- Cyber insurance
These specialized products are gaining traction in India’s evolving risk landscape as businesses and individuals increasingly seek protection from financial, technological, and legal exposures. Jain noted that these segments represent the next wave of growth opportunities for insurers seeking to modernize and diversify beyond traditional motor and health products.
Industry Outlook and Growth Potential
Despite muted growth in the broader general insurance sector during FY25 and H1 FY26, Jain is optimistic that the momentum will rebound in H2 FY26, supported by regulatory tailwinds and product innovations.
The Indian health insurance industry has been expanding rapidly due to rising healthcare costs, increasing awareness of financial protection, and government incentives promoting health coverage. With GST exemptions and digital distribution channels improving access, the retail health insurance segment is poised for double-digit growth over the next few years.
Reliance General’s strategy aligns well with these market dynamics — focusing on affordability, customer-centric innovation, and portfolio diversification to outpace industry growth.
Conclusion
Reliance General Insurance’s plan to double its health insurance business in the next three to four years marks a significant strategic shift in India’s competitive insurance landscape. By leveraging policy tailwinds like GST relief, investing in retail health expansion, and strengthening its capital base post-IIHL acquisition, the company is positioning itself as a future leader in the health insurance domain.
This renewed focus also reflects broader industry trends — where health insurance has emerged as a key growth engine amid slowing performance in traditional segments such as motor and property insurance.
With enhanced product innovation, deeper regional penetration, and a trusted parent group backing its expansion, Reliance General appears well-equipped to achieve its ambitious goals. The insurer’s commitment to financial strength, customer trust, and diversification will likely enable it to outperform the market and redefine its position in the Indian general insurance sector.
Ultimately, Reliance General’s trajectory highlights how strategic realignment, policy reform, and customer focus can collectively shape a more resilient and inclusive insurance ecosystem in India.
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Frequently Asked Questions
1. What is Reliance General Insurance’s goal for the next 3–4 years?
Reliance General aims to double its health insurance business, raising its share from 20% to about 38% of the overall portfolio within the next 3–4 years. The company is targeting industry-level health segment penetration, with a strong focus on expanding its retail health portfolio.
2. How has GST relief impacted the health insurance market?
The nil GST rate on individual health and life policies has made premiums more affordable, increasing customer interest and conversions. Reliance General has seen a surge in enquiries and higher uptake for larger sum insured covers, as policyholders can now get more value for their money.
3. What role does the IIHL acquisition play in Reliance General’s growth?
The acquisition by IndusInd International Holdings Ltd (IIHL) and subsequent capital infusion have strengthened Reliance General’s financial position and brand credibility. It has eliminated concerns associated with the earlier Reliance Capital crisis, restoring consumer trust and supporting expansion plans.
4. Which new insurance segments is Reliance General exploring?
Beyond health insurance, Reliance General is expanding into liability, surety, bid bond, and cyber insurance — emerging categories driven by rising corporate risks, digital threats, and infrastructure projects. These new lines are expected to contribute significantly to long-term growth.
5. What is the current size of Reliance General’s health insurance portfolio?
As of FY26, Reliance General has written ₹1,593 crore in gross health insurance premiums, comprising 22% of its total ₹6,949.7 crore portfolio. Of this, ₹209.42 crore comes from retail health and ₹951.97 crore from group health policies.
