Obesity and diabetes claims costs have doubled in four years and could soon become the leading driver for international private medical insurance (IPMI) expenses, according to Bupa Global.
The insurer said this surge was being fuelled by the rising prevalence of chronic, lifestyle-linked conditions with outpatient drug claims also soaring.
It analysed tens of thousands of claims worldwide between 2021 and 2025 and highlighted the longer-term use of many drugs as adding significantly to expenses.
Claims costs for obesity, diabetes and other metabolic conditions surged 97% since 2021 amid a sharp rise in costs related to metabolic conditions, the insurer said.
Furthermore, outpatient drug claims volumes more than doubled (110%), with the fastest growth in treatments for diabetes, obesity and cholesterol disorders.
The insurer added this reflected a growing reliance on pharmaceutical interventions for chronic conditions – a trend most pronounced in the Middle East, where outpatient drug costs soared 143% since 2021, outpacing all other regions.
Across Europe, outpatient claims costs rose 110%, and in Asia they climbed 90%, underscoring the global scale of pharmaceutical reliance.
Chronic cost pressure
While cancer typically involves high-cost, short-term treatment, chronic metabolic conditions create long-tail costs such as ongoing management, prescription medication, and lifestyle support that extend over decades, the insurer continued.
It noted this evolution in claim types meant that lifestyle-linked diseases were now reshaping the global IPMI risk profile.
But new drugs such as GLP-1 inhibitors were also contributing this trend.
It pointed out that while most insurers, including Bupa Global prescribed these medicines for type 2 diabetes when appropriate, their wider adoption across healthcare systems was driving higher outpatient pharmacy costs globally.
And taken together, these factors were creating a sustained pressure point for international insurers, one that will require new models of prevention and cost management, the insurer added.
Dr Robin Clark, medical director for Bupa Global, said: “We’re now seeing clearer signs of what we’ve long anticipated – global lifestyle patterns and demographic shifts are increasingly reflected in our claims data.
“Nearly three billion people are now overweight or obese, and that’s driving earlier and more frequent presentations of related conditions such as type 2 diabetes and cardiovascular disease. These conditions may well become the next major cost driver for IPMI.
“At the same time, we’re seeing real breakthroughs in how innovation is moving upstream, helping us prevent illness rather than treatment alone.
“One of the most promising areas is genomics, which allows us to better understand a customer’s susceptibility to certain conditions. This means we can intervene earlier and prescribe more safely and effectively, getting the right medicine to the right person first time, and potentially mitigate long-term conditions.”
Mental health
Mental health has also remained one of the fastest-growing claim categories, with a 93% increase since 2021, which the report said reflected not only growing demand, but also a deeper cultural shift in how people engaged with care.
Dr Clark said: “For mental health, more people are using healthcare proactively, not reactively. They’re accessing support earlier – for wellbeing and performance.
“That reflects growing awareness, easier digital access and a broader shift towards prevention. We’re seeing this across all our key markets.”
Bupa Global added digital engagement was now mainstream.
Global virtual GP appointments had grown 21% year on year since 2021 and 59% of customers actively used it’s digital platform within a 12-month period
Anthony Cabrelli, managing director for Bupa Global, said: “These insights mirror the broader societal shifts we’ve been seeing on the horizon for some time – from rising obesity and diabetes to the growing demand for more proactive healthcare.
“Not only do they give our clients and intermediary partners the confidence to plan ahead, but they also further fuel our drive to invest further in early detection and prevention through our Blua digital healthcare and genomics screening programme.
“We’re also adding more flexibility to our propositions including modular cover and tiered networks – reflecting the feedback we’ve had from intermediaries and employers. It’s a challenging but exciting time for the IPMI industry.”