Introduction: Majority of COVID-19 patients present with mild disease. 20% of patients progress to severe disease and have high mortality, because of hyperinflammation, cytokine storm development, viral mutation and lack of specific targeted medication. Critical analysis of laboratory parameters and potential biomarkers aids in assessing the evolution of disease, rapid identification of severe cases, identification of possible impending cytokine storm and guide appropriate medical management. Aim: The aim of the current study is to identify the significance of laboratory parameters that assist in disease categorization, so as to initiate early medical management. Materials and Methods: Between April 1 to April 15 2021, we retrospectively and prospectively included 200 patients admitted with COVID-19 infection (COVID-19 RTPCR positive and CORADS __ampersandsigngt;3). Clinical assessment including history and associated comorbidities were noted at admission. Correlation of laboratory parameters was performed with disease category along with duration of hospitalization and clinical outcome. Results: Out of 200 COVID-19 patients, there were 145 males (72.5%). Severe disease patients had significantly higher neutrophil percentage, ESR, lower absolute lymphocyte count, elevated serum Ferritin and LDH. Non-survivors had low oxygen saturation, high absolute neutrophil count, Neutrophil to lymphocyte ratio (NLR), ferritin, D-dimer, IL-6 and low platelets at admission. Conclusion: Laboratory parameters are rapid, simple, cost-effective and aid in early diagnosis in assessing the severity of disease by indicating changes in immune and clotting system. Dynamic measurements help in timely institution of treatment strategies.