Global Maternity Health Insurance Market Outlook, 2029

Global Maternity Health Insurance Market Outlook, 2029

The maternity health insurance industry plays a vital role in providing financial protection for women during pregnancy and childbirth. As healthcare costs continue to rise, maternity health insurance helps alleviate the financial burden associated with prenatal care, delivery, and postnatal care, ensuring that women have access to necessary medical services during a significant and life-changing period. With growing awareness of women’s health needs and an increasing number of people seeking comprehensive health coverage, the maternity health insurance market has experienced significant growth in recent years. Maternity health insurance is a specialized type of health insurance that covers a wide range of medical expenses related to pregnancy and childbirth. It generally includes coverage for prenatal care, labor and delivery, postnatal care, and in some cases, complications arising from pregnancy. Policies may also extend coverage to newborn care, such as vaccinations and pediatric check-ups. The goal is to provide financial support and access to quality care for expectant mothers, ensuring that they receive the necessary medical attention without worrying about the high costs associated with childbirth and related health services. One of the most significant drivers of the maternity health insurance market is the escalating cost of healthcare. The expenses related to maternity care, including prenatal visits, labor, delivery, and postnatal services, can be substantial. As these costs continue to increase globally, many individuals and families are turning to maternity health insurance as a means to secure adequate financial support. This trend is particularly noticeable in developed countries where medical costs are high, and the need for comprehensive insurance is growing.

According to the research report “Global Maternity Health Insurance Market Outlook, 2029” published by Bonafide Research, the global market is projected to reach market size of USD 197.24 Billion by 2029 increasing from USD 129.13 in 2023, growing with 7.47% CAGR by 2024-29. Over the years, there has been a rising awareness about women’s health issues, including the importance of comprehensive maternal care. As more women focus on maintaining their health and well-being during pregnancy, the demand for insurance products specifically designed to meet their maternity needs has surged. Many women now view maternity health insurance as an essential aspect of their overall health plan, ensuring that they have access to timely and quality care. Insurance companies are increasingly focusing on providing not only coverage for delivery-related services but also preventive care services for women. This includes coverage for regular check-ups, screenings, and education on healthy pregnancies, which helps reduce complications and ensures better outcomes for both mothers and babies. Preventive care initiatives have made maternity health insurance more attractive, encouraging expectant mothers to choose policies that cover a broader range of services. In several countries, governments are introducing policies aimed at improving maternal health and making healthcare more accessible. For instance, government-backed health programs may offer maternity health insurance coverage or subsidies, thereby encouraging families to take out insurance policies. In the U.S., the Affordable Care Act has mandated that maternity care be covered under most health insurance plans, further boosting the uptake of maternity health coverage.

Market Drivers

• Rising Healthcare Costs for Maternity Care: As healthcare costs continue to escalate, maternity-related expenses have become a significant financial burden for many families. The increasing costs associated with prenatal visits, delivery, postnatal care, and newborn services have driven the demand for maternity health insurance. Insurance policies provide financial protection, covering medical bills and other related expenses, ensuring that families do not face undue financial hardship during this critical phase of life.
• Focus on Maternal and Infant Health Outcomes: There is a growing emphasis on improving maternal and infant health outcomes worldwide. With a focus on reducing maternal mortality rates and improving newborn care, health organizations and governments are encouraging the uptake of comprehensive maternity health insurance plans. These policies not only cover the cost of childbirth but also prioritize preventive care, regular check-ups, and screening for pregnancy-related complications, improving overall health outcomes for both mothers and babies.

Market Challenges

• Exclusion of High-Risk Pregnancies and Complications: One of the significant challenges facing the maternity health insurance industry is the exclusion of high-risk pregnancies or certain complications in many insurance plans. Women with pre-existing conditions or those experiencing complications during pregnancy may find that their maternity coverage does not extend to the additional medical care required. This exclusion can result in unexpected out-of-pocket expenses, creating dissatisfaction among policyholders.
• Affordability and Premiums: Maternity health insurance premiums can be relatively high, especially in cases where it is an add-on to an existing health plan or when a waiting period exists before coverage kicks in. This makes it difficult for some individuals and families to afford comprehensive maternity coverage. The challenge of balancing affordable premiums with adequate coverage often leads to gaps in care or the inability to access insurance for women who are planning to conceive in the near future.

Market Trends

• Digitalization of Insurance Services: Many insurers are embracing digital tools to offer more accessible and customer-friendly maternity health insurance services. Mobile apps, online consultations with obstetricians and gynecologists, and digital claim filing have made it easier for women to manage their insurance policies and access necessary services. This trend is improving the user experience and providing more efficient ways to deliver care and manage claims.
• Customizable Maternity Insurance Plans: To address the unique needs of individual clients, many insurers are offering customizable maternity health insurance plans. These plans allow women to select coverage based on their specific needs, such as the type of delivery (natural or cesarean), additional coverage for complications, or pediatric care for newborns. This trend reflects the growing need for tailored insurance products that provide flexibility and comprehensive coverage for mothers.
• Integration of Postpartum Care: There is a growing trend toward integrating postpartum care into maternity health insurance plans. This includes coverage for postnatal visits, mental health support for mothers dealing with postpartum depression, and coverage for breastfeeding consultations. The recognition of the importance of the post-birth phase of maternity is helping to ensure that mothers receive holistic care.

The comprehensive plans segment leads the maternity health insurance market due to the increasing demand for holistic coverage that includes prenatal, delivery, postnatal, and newborn care, offering peace of mind to expecting families.

Comprehensive maternity health insurance plans are leading the market because they offer all-encompassing coverage, providing financial protection throughout the entire maternity journey. Expectant parents prefer these plans as they address the full spectrum of maternity-related healthcare, including prenatal visits, labor and delivery, postnatal care, and newborn services such as vaccinations and pediatric check-ups. This all-in-one approach reduces the financial uncertainty and stress associated with pregnancy and childbirth, offering both immediate and long-term benefits. With rising healthcare costs, comprehensive plans are particularly attractive because they eliminate the need for separate coverage for different stages of maternity care, ensuring that all medical expenses are covered. Moreover, these plans often provide access to a broader range of healthcare providers, including specialists and high-quality hospitals, which enhances the overall experience of the pregnancy and delivery. As more individuals prioritize the quality and continuity of care during pregnancy, the demand for these comprehensive maternity plans has surged, making them the preferred choice in the market.

The Public Insurance Providers segment leads the maternity health insurance market due to the accessibility, affordability, and widespread availability of government-funded maternity coverage, particularly in countries with universal healthcare systems.

Public insurance providers are a dominant force in the maternity health insurance market because they offer widespread access to affordable maternity care, making them the preferred choice for many families. In countries with universal healthcare systems, such as those in Europe, Canada, and parts of Asia, government-funded or state-sponsored insurance programs often include comprehensive maternity coverage, providing financial support for prenatal, delivery, postnatal, and newborn care. This coverage is generally more affordable compared to private insurance, as it is subsidized by the government, reducing the financial burden on individuals and families. For low- and middle-income populations, public insurance provides essential coverage, ensuring that all women, regardless of their socioeconomic status, have access to quality maternity care. Additionally, these public plans often have fewer restrictions and waiting periods compared to private insurance providers, making them a more attractive option for many. With a focus on improving maternal and infant health outcomes, public insurance programs are increasingly prioritizing maternal health, making them a crucial segment in the global maternity health insurance market.

The Agents/Brokers segment leads the maternity health insurance market due to their ability to offer personalized guidance, help navigate complex policy options, and match consumers with the most suitable maternity coverage plans.

The Agents/Brokers segment is a key leader in the maternity health insurance market because they play a critical role in simplifying the decision-making process for consumers. With the wide variety of maternity insurance plans available, understanding the terms, coverage options, and exclusions can be overwhelming for many individuals. Agents and brokers help by providing expert advice and personalized recommendations based on each customer’s needs, such as their family planning goals, budget, and health conditions. These professionals have deep knowledge of the available policies, including government and private options, and can offer tailored solutions that suit specific requirements, from prenatal care to postnatal services. Furthermore, agents and brokers act as intermediaries between insurance providers and consumers, helping to ensure that policyholders get the best deals, discounts, and benefits. Their guidance can also assist in avoiding pitfalls, such as long waiting periods or inadequate coverage for high-risk pregnancies, making them invaluable for many people seeking maternity insurance. As awareness about the importance of maternity health coverage grows, the demand for agents and brokers who can facilitate access to the right plan is increasing, establishing their dominance in the market.

The North America segment leads the maternity health insurance market due to the high demand for comprehensive healthcare coverage, government policies supporting maternity care, and the prevalence of private insurance options.

North America, particularly the United States and Canada, is a leading region in the maternity health insurance market due to the robust healthcare systems and the high demand for maternity-related coverage. In the United States, the Affordable Care Act (ACA) has made maternity care an essential benefit in most health insurance plans, making maternity health coverage more accessible for a large portion of the population. This policy shift has led to a broader inclusion of maternity care under both private and public insurance programs, driving growth in the market. Additionally, many private insurers in North America offer comprehensive maternity plans that cover prenatal, delivery, postnatal, and newborn care, which has become increasingly popular among expecting families seeking financial protection during pregnancy. In Canada, the publicly funded healthcare system provides broad coverage for maternity services, ensuring that maternity-related care is available to all citizens. The combination of strong public healthcare systems and a wide array of private insurance options has led to a higher uptake of maternity health insurance in North America, cementing its position as the leader in the global market. The region’s ongoing focus on improving maternal health outcomes, combined with continued innovation in maternity care services, contributes to the sustained growth of this market segment.

• On May 2024, Transcarent launched an AI-driven solution, to simplify healthcare navigation. The newly introduced AI chatbot, developed on the ChatGPT framework, is designed to address common health maternity health insurance inquiries, including cost estimates for medical services, deductible queries, and provider recommendations.
• On May 2024, Everest Insurance unveiled its Australian insurance operations following approval from the Australian Prudential Regulation Authority.
• On May 2023, the Insurance Regulatory and Development Authority of India (IRDAI) launched a bundled product that will provide life, health, casualty, and property cover in a single policy at an affordable price.

Considered in this report
• Historic Year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Maternity Health Insurance Market with its value and forecast along with its segments
• Region & country wise Maternity Health Insurance market analysis
• Application wise Maternity Health Insurance distribution
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Coverage Type
• Pre-natal Coverage
• Delivery Coverage
• Post-natal Coverage
• Comprehensive Plans

By Service Provider
• Public Insurance Providers
• Private Insurance Providers
• Micro-Insurance Providers

By Distribution Channel
• Agents/Brokers
• Direct Sales& Online
• Bank
• Others

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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