The share of planned hospitalisation cases involving FNOL stood at 2.2% in FY23, before rising to 3.8% in FY24, 5.5% in FY25 and 7.5% in FY26, the data showed.
FNOL refers to the early notification of a possible insurance claim.
In a planned hospitalisation, this notification can happen before the customer is admitted, giving the insurer an opportunity to engage with the policyholder earlier in the hospitalisation process.
In a traditional claims journey, the customer typically selects a hospital, undergoes hospitalisation and then initiates or completes the claims process. With FNOL, the insurer is informed when the customer anticipates that hospitalisation may be required.
According to Policybazaar, the increase in FNOL usage reflects greater customer awareness of the benefits of early notification and the growing adoption of digital-first claims journeys.
Early notification can allow insurers or their claims-support platforms to assist with hospital-related processes such as admission, claims coordination and discharge support. The services available to a policyholder would depend on the insurer, policy terms and hospital arrangements.
Siddharth Singhal, Head of Health Insurance at Policybazaar, said FNOL is becoming an entry point for the company’s PB Care+ service to engage with customers earlier in the healthcare journey, including before the hospital is finalised.The rise in FNOL usage also points to a shift in the health insurance claims journey, where insurers can potentially get involved before hospitalisation rather than only when a claim is being processed.
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First Published: Oct 8, 2026 8:03 AM IST