NORKA Care Insurance Scheme: Pinarayi Vijayan Demands Rollback of Premium Hike
NORKA Care Insurance is at the centre of a premium hike dispute as Pinarayi Vijayan urges authorities to reverse the increase and provide relief to policyholders.
NORKA Care Insurance faces criticism over its increased premiums, with Kerala Chief Minister Pinarayi Vijayan demanding a rollback to ease the financial burden on beneficiaries.
NEW DELHI – NORKA Care Insurance: Leader of the Opposition Pinarayi Vijayan has asked the Kerala government to withdraw the sharp increase in premiums under the NoRKA Care health and accident insurance scheme for non-resident Keralites. In a social media post on Sunday, he said the move hurts expatriate families, particularly low-wage workers in the Gulf and elderly returnees, at a time when West Asia is in turmoil. The premium for a ₹5 lakh family floater policy has risen from ₹13,411 to a range of ₹35,664 to ₹77,773.
NORKA Care Insurance: What Vijayan Has Asked For
Vijayan said the United Democratic Front (UDF) government has refused to allow a discussion on the issue in the Legislative Assembly. He added that it has held its position despite demands from several expatriate organisations. He argued that the increase is an unbearable burden for Gulf workers on modest incomes and for senior citizens who have come back home.
He also objected to the government’s explanation. Ministers have said insurers are unwilling to continue on the earlier terms because of high claim volumes. The scheme, launched under the previous Left Democratic Front (LDF) government, allowed people with existing medical conditions to enrol.
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Vijayan said that by treating this feature as the source of the problem, the government is adopting the position of private insurers. He said the government should negotiate with the companies to secure good service for beneficiaries instead of yielding to them. In his view, the higher rates could put the whole scheme at risk, and he urged the government to consider the demand for lower premiums.
NORKA Care Insurance: The Government’s Case on Claims and Premiums
The dispute was raised in the Assembly on October 29. CPI MLA K K Valsaraj moved an adjournment notice on the premium increase, the disbanding of the Loka Kerala Sabha and delays in pension payments from the Pravasi Welfare Board. Chief Minister V D Satheesan said the scheme had a “structural mistake” because it covered all pre-existing illnesses. He said about ₹145 crore was collected in premiums while claims of roughly ₹210 crore had to be paid, around ₹120 crore of it for illnesses such as cancer.
According to the Chief Minister, the insurer’s losses came to 160 per cent under NoRKA Care and 350 per cent under NoRKA Care Plus. He said no company offered a quotation at the earlier rates, so the only option was to raise premiums. One report quoted him as saying the previous insurer asked the government for ₹300 crore in advance.
He added that the revised scheme covers people aged 18 to 110. The Speaker denied permission for the adjournment motion, and the Opposition walked out with Vijayan leading the protest. In his walkout speech, Vijayan said the premiums were higher than open-market rates. He also pointed to a cut in the NoRKA budget allocation for 2026-27 from ₹154 crore to ₹112 crore.
NORKA Care Insurance: Reaction From Expatriate Groups and Other Leaders
Expatriate organisations have protested the new rates. Muslim League national vice president K. Zainul Abidin and groups such as the Kerala Muslim Cultural Centre have asked the government to review the structure so ordinary expatriates keep their cover. Dr V Sivadasan, MP, has also sought a rollback, saying the age-based increases have hit elderly and returned expatriates hardest.
Reported rates for individual ₹5 lakh cover also vary sharply by age. They are ₹21,722 for those aged 51 to 60, ₹28,326 for 61 to 70, and ₹48,279 for 71 to 80. Some expatriates who gave up private policies to join the scheme say they now fear being priced out.
NORKA Care Insurance: Background on the Scheme
NoRKA Care was launched on September 22, 2025 by NORKA Roots, and cover began on November 1, 2025, Kerala Piravi Day. It was billed as the first scheme in the country built exclusively for expatriates. The original package gave ₹5 lakh in health cover and ₹10 lakh in accident cover.
A family of four (a couple and two children up to 25) paid ₹13,411, and pre-existing conditions were covered. The enhanced NoRKA Care Plus followed in 2026. By the Chief Minister’s account, more than 1.32 lakh families are enrolled under NoRKA Care and 95,580 under NoRKA Care Plus. Kerala has an estimated 2.5 million non-resident Keralites, most of them in the Middle East.
