Bajaj Allianz Launches State-Specific Health Insurance Plans

State-wise health insurance policy by Bajaj Allianz

In a first-of-its-kind initiative, Bajaj Allianz General Insurance has launched State-wise customised health insurance policies designed to reflect the unique healthcare dynamics of different Indian states. This approach moves beyond the uniform pricing model and aims to make health insurance more affordable and accessible, especially for the urban lower middle class and rural middle class segments.

Why in News?

The launch of State-specific health insurance policies by Bajaj Allianz on June 20, 2025, marks a significant innovation in India’s health insurance sector. With large disparities in healthcare infrastructure, treatment costs, and disease patterns across states, the insurer’s move addresses the demand for affordable, need-based coverage—especially for the ‘missing middle’ who remain uninsured due to high premium costs.

Key Features of the State-wise Health Insurance

Customised Premiums: Based on local hospital infrastructure, treatment costs, and regional health patterns
Affordability Focus: Premiums differ by 10–15% across states

Target Audience

Urban lower middle class
Rural middle class
‘Missing middle’ — not covered under Ayushman Bharat or private insurance
Variants Available: Individual and floater plans

Objectives and Vision

Bridging Coverage Gap: Focus on the segment that most needs health insurance but remains uncovered due to cost barriers
Insurance for All: Aligned with the broader goal of universal health coverage
Localized Relevance: From disease prevalence to healthcare affordability, insurance is tailored to actual state-wise needs

Background and Industry Impact

Traditionally, health insurance in India followed a ‘zone-based premium’ model (Metro, Tier I/II/III cities).
Bajaj Allianz’s state-based pricing takes a more granular, data-driven approach.
The move could set a new benchmark in micro-insurance and inclusive health finance.

Summary/Static	Details
Why in the news?	State-wise health insurance policy by Bajaj Allianz
Launched By	Bajaj Allianz General Insurance
Premium	Variation 10–15% based on local healthcare economics
Target Segment	Urban & rural middle class, ‘missing middle’
Insurance Variants	Individual and floater