After having spent over four decades in insurance, G Srinivasan has taken on a new challenge as MD and CEO of Galaxy Health Insurance, a Chennai-based standalone health insurer backed by the TVS Group and Star Health founder V Jagannathan. Srinivasan, former CMD of United India and New India Assurance, spoke to The New Indian Express about Galaxy’s strategies, targets, market dynamics, and challenges.
What led to the launch of Galaxy Health Insurance?
The idea was spearheaded by the TVS family and V Jagannathan, who built Star Health into a market leader. Both bring immense credibility. They believed there is still a huge gap in health insurance. Around 40% of India’s population remains uninsured, and among those inured, many are underinsured. For instance, a ₹5 lakh cover isn’t enough anymore when health care costs are skyrocketing. A short hospital stay can wipe it out.
We want to address this in four ways -- by improving penetration in underinsured regions; by designing practical, need-based products; by focusing on wellness; and by ensuring fair and full claim settlement.
How quickly have you scaled up since launch?
The company was set up in March, 2024. We got our license in under 50 days. By October, we issued our first policy. In just 8–9 months, we have expanded to 65 offices across eight states of Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Odisha, West Bengal, Assam, and Uttar Pradesh. At present, we have 350 employees, 9,000 agents, and have already covered around one lakh lives. Our goal this year is Rs 200 crore in premium.
What is your product strategy?
So far, we have launched eight products. Galaxy Promise, our flagship, comes in three variants. Galaxy Marvel is a base plan with add-ons, while our Top-Up product allows customers to enhance coverage at low cost. We have tailored plans for senior citizens, NBFC customers, and group clients. Disease-specific plans for cancer, cardiac care, and diabetes are on the drawing board.
We are targeting 90% of our business from retail. For young buyers, we offer a standout feature — if there are no claims, the premium remains constant till age 55. That is rare in this market and encourages early adoption.
Are micro-insurance products part of your roadmap?
Absolutely. We are rolling out a rural-focused plan in the next 2–3 months. It will be affordable and cater to people using small nursing homes. We are also exploring bite-sized covers like personal accident and critical illness, especially through our corporate agency partners. It is essential to make insurance accessible for underserved populations.
Why are premiums rising and what is the way forward?
Healthcare costs are rising because there is no regulation. Unlike other sectors, there is no central authority controlling hospital rates or standardising treatment protocols. Health is split between the Centre and states, creating gaps. The Central government has developed a National Claims Exchange for transparent claims processing. All insurers are on board, but only a few hospitals have joined. Beyond tech, we need a healthcare regulator, someone to oversee pricing and practices. Without that, health care costs will rise and consequently premiums will continue to rise, and customers will suffer.
How is Galaxy Health handling claims?
Claims are a pain point for many, but we have made it our strength. Our products cover even consumables—often excluded elsewhere—so customers get nearly 100% of their expenses reimbursed. In the last 7–8 months, we have settled 200–250 claims with full transparency. We support the regulator’s move to allow cashless claims even at non-network hospitals.
How do you deal with outpatient care?
Most policies only cover inpatient treatment. But a huge chunk of health spending goes to OPD —doctor visits, diagnostics, medicines. We have launched an OPD product that covers consultations, telemedicine, labs, and pharmacies. It has been well received. True health insurance must include both in-patient and outpatient care, plus daycare procedures, which we also cover extensively.