It was driven by higher collections in health, motor own damage and fire insurance.
India’s non-life insurance market is expected to sustain double-digit growth in the near term, driven by health, motor and fire lines, although pricing discipline and distribution costs will be key, according to CareEdge Ratings.
Non-life premiums rose 13.7% year-on-year in December 2025 to $3.13b (₹28,446.8 crore), marking a second straight month of double-digit growth, partly supported by a favourable base after the 1/n rule affected December 2024.
Growth was led by higher collections in health, motor own damage and fire insurance, helped by festive vehicle sales, year-end renewals and steady commercial activity.
CareEdge said momentum should remain supported by regulatory initiatives, digital distribution, rising retail demand and the expansion of standalone health insurers, with year-to-date FY26 premiums already above $27.5b (₹2.50 lakh crore).
Motor insurance is expected to stay a key driver, backed by lower GST, stronger vehicle sales and the potential for higher third-party rates.
However, the agency cautioned that competition, regulatory changes, distributor commissions and the pace of recovery in government-backed schemes could affect how sustainable growth is in 2026.
($1.00 = ₹90.99)
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