Health insurance for NRI offers coverage for medical expenses for non-residential Indians in India. Dedicated health insurance becomes necessary as medical costs go out of pocket, and most foreign health insurance plans are not recognised in India. Whether you’re visiting India briefly, supporting your family back home, or planning a permanent return, having NRI health insurance ensures that you are financially secure and prepared for any medical situation. It offers protection against unexpected expenses, allowing you to focus on your health and well-being.
Zero
Waiting period
10,500+
Cashless hospitals
100%
Bills covered
If you are an NRI and thinking of visiting India, then you must have some sort of health insurance coverage to ensure financial support in case of a medical emergency. Whether you want to purchase it for the short term or a long term is up to you and your travel plans.
Health insurance for NRIs is a category based on the legal residential status of the person willing to get insured in India. There can be legal and tax implications to this; therefore, one must strictly adhere to the stated documentation process while buying or renewing and raising a claim against this policy.
As a Non-Resident Indian (NRI) living abroad, you can buy health insurance policies in India to cover yourself and your family in India. To be eligible, you simply need to provide documentation that proves your Indian citizenship, such as a valid address proof, recent ITR filing, or PAN card.
For Persons of Indian Origin (PIOs), a copy of your passport is required to purchase an NRI health plan in India.
It is highly recommended for NRIs planning to permanently move back to India within the next 3-4 years to buy health coverage in advance. This ensures your policy's waiting periods for pre-existing conditions are completed by the time you relocate.
Getting health insurance in place while still abroad also avoids the need to urgently shop for plans after arriving in India. You can have peace of mind knowing you and your family will be covered as soon as you return.
Purchasing NRI health insurance in India well ahead of an intended move back can provide vital financial protection.
Here’s why it is crucial for NRI's, to be covered under a health insurance policy purchased in India.
Health insurance policies often come with geographical restrictions. If you already have a health insurance policy in your country of residence (for example, USA), it might have no or limited coverage outside of its geographical limits. However, when you purchase health insurance in India, you will not have those geographical limits and can avail of insurance coverage throughout the country (India).
As an NRI, you might be vulnerable to certain health issues, such as flu and stomach ache, while visiting India. If you purchase a health insurance policy in India, you can avail of adequate coverage as per your requirements. For example, opting for a high sum insured along with a Personal Accident Cover.
In case you face medical issues and need to raise a claim, settling it with an India-based insurer (for example, ACKO) is likely to be more streamlined compared to one based in a foreign land. This is if you are covered by their policy in India. For example, with an India-based insurer, you can directly avail of cashless claims as they will have tie-ups with several hospitals. Thus, the process will be hassle-free. However, the same might not be possible in the case of a foreign-based insurer, as there will be a lot of communication, documentation, inspection, etc., which can be time-consuming.
Purchasing a health insurance policy not only offers financial support for covered medical issues but also offers tax benefits. You can avail yourself of tax benefits under section 80D of the Indian Income Tax Act when purchasing health insurance in India. This provision is related to reducing the tax liability for taxable income in India. The exact benefit will depend upon the premium and the tax benefit slabs for the financial year.
If you are an NRI who frequently travels to India, then opting for a health insurance policy in the country will help you with continuous coverage throughout the policy period. For instance, if you buy a policy with a coverage period of two years, you don’t have to worry about buying insurance every time you visit India during those two years.
Some health insurance policies need you to complete a waiting period before you can raise a claim. This is usually applicable in case of pre-existing diseases that exist while purchasing the policy. If you are an NRI who plans to come back to reside in India permanently after a few years, then buying a health insurance policy as soon as possible will help meet the waiting period requirement. This ensures that when you return to India permanently, you can bypass the waiting period and access coverage immediately.
The process for purchasing NRI insurance can vary from one insurer to another. Also, the process might not be as straightforward as it is for a resident Indian, where the resident can directly buy an online health insurance policy via the insurer’s website or app without documentation.
Here’s an overview of the application process:
Get in touch with the insurer via website/app/call/email.
Meet their criteria by submitting required documents such as Passport number, Permanent Account Number (PAN) details, etc.
Select a plan of your choice.
Undergo medical tests required (if any) by the insurer.
Pay the applicable premium.
Receive the policy.
Verify the details and get them rectified if there’s an issue.
Yes, NRIs can purchase a health insurance policy in India even if they are covered under some policy in their country of residence. Some NRIs might be insured by their employers or might have a wide-ranging policy offering domestic as well as international coverage (with limitations). Even in such a scenario, NRIs can opt for a health insurance policy in India for enhanced coverage.
If you are an NRI looking to avail of health insurance in India, you need to adhere to the Foreign Exchange Management Act (FEMA) regulations. Here’s what it mainly deals with.
If you are buying health insurance for NRI parents who will be visiting or moving to India with you, then consider the following points for making an informed decision.
Opt for a policy that offers maximum coverage in terms of the sum insured and the policy features. For example, the policy should not only be focused on hospitalisation but also cover pre-hospitalisation and post-hospitalisation expenses.
Usually, the higher the person’s age, the higher the insurance premium. Keep that in mind while insuring your parents. Don’t compromise on the overall policy features just because they might seem to demand a higher premium. Senior citizens usually have a higher health risk, but need coverage for ongoing medical costs, apart from hospitalisation expenses.
In the case your parents have pre-existing diseases, make sure to inform the insurer about the same. This process usually happens during the policy purchase journey. Also, pre-existing diseases are usually covered by the insurer after the insured person has completed a waiting period.
The payable premium will be decided upon by several factors such as the parents’ age, health condition, type of policy chosen, etc. The amount is usually lower in the case of a long-term policy as compared to a short-term policy.
Before buying a policy, make sure that the insurer has a wide range of top-notch hospitals in its network. This is crucial as admitting the insured person to a network hospital helps to settle claims in a hassle-free manner. As there’s an understanding between the insurer and the hospital, the claims raised are settled in a cashless manner (directly between the hospital and the insurer).
It is crucial to purchase a dedicated Individual Health Insurance Policy for NRI senior citizens, rather than including them in a group plan like a Family Floater policy. If you want to include them in a group cover, ensure the sum insured is substantial, for example, Rs. 1 crore.
If you purchase health insurance in India, you are eligible for a tax deduction as per the prevailing Income Tax guidelines. Therefore, buying health insurance can help you save tax.
There are tax benefits for NRIs if they purchase health insurance in India. This is applicable in case the policy is purchased in the country for an individual as well as for parents.
Usually, Mediclaim policies cover only hospitalisation expenses. They don't cover other kinds of expenses such as diagnostic tests, doctor consultations, medications, etc. Health Insurance provides insurance coverage before and after hospitalisation and not just during hospitalisation. However, health insurance for NRI and Mediclaim for NRI might be used interchangeably in some cases for basic plans. Thus, it’s best to discuss the coverage with the insurer before purchasing either policy.
For an NRI, it’s better to be covered under some sort of health insurance purchased in India while in the country. However, in certain situations, it might be okay to not purchase a health insurance policy in India. Here’s a list of such situations.
If the health insurance policy purchased in the country of residence offers extensive coverage, even in India.
If you are visiting India only for a few days and your travel insurance covers health-related risks.
If you are certain that you will not be returning to India permanently anytime soon.
When purchasing health coverage as an NRI in India, it is important to review the policy terms and conditions closely. Some key points to understand include:
Most NRI health plans only cover medical expenses incurred within India. Overseas emergency treatment may be included but is often limited and requires higher premiums or co-payments.
Insurers tend to offer lower sum insured amounts for NRIs compared to Indian residents. This is because they view NRIs as higher risk since they live abroad, making verification difficult. Preventive health check-ups may also not be included.
Pre-existing conditions are usually only covered after 2-4 years of continuous coverage. Look for policies with the shortest wait periods.
Policies have a grace period, typically 30 days, to renew after expiry without losing continuity benefits. Understand renewal timeframes to avoid gaps.
Medical records and bills are essential for claims processing and reimbursement. Save all documents and submit them promptly for faster payout.
Thoroughly reviewing the fine print ensures you understand applicable terms so there are no surprises at the time of claim. Look for an NRI policy that balances your coverage needs with competitive pricing.
NRIs should purchase health insurance in India, even if they have already obtained extensive health coverage abroad. Usually, foreign insurers do not cover within India, whereas digital-first insurers in India have streamlined the claims process. This kind of insurance is essential for NRIs with pre-existing conditions. Ideally, purchasing insurance a few years before returning to India is best to ensure coverage begins from day one of your arrival. Additionally, it is easier for NRI senior citizens to secure health insurance and enjoy tax benefits.
Here are some FAQs related to NRI health insurance in India.
2K Linkedin Followers 
Reviewed by Rupinderjit 
Acko Technology & Services Private Limited
#36/5, Hustlehub One East, Somasandrapalya, 27th Main Rd, Sector 2, HSR Layout, Bengaluru, Karnataka 560102
Products 
Company
Legal
Support
Car Insurance 
Bike Insurance
Health Insurance
Group Health Insurance
Travel Insurance
Life Insurance
