New Delhi, Feb. 12 -- Over the past few years, group and affinity health insurance products have been projected as an easy answer to India's health insurance challenges. Employers, banks, fintech platforms, cooperatives and government schemes have collectively expanded coverage to millions of lives.

At first glance, this appears to be a success story. Premiums are lower, enrolment is effortless, and coverage is seamlessly bundled with employment, loans or memberships.

But a deeper look raises an uncomfortable question: Is group insurance really a panacea for India's health insurance problems?

The honest answer is-no.

The illusion of scale

Group and affinity health insurance products are structurally vulnerable. They are increasingly ...