Magnetic fluid hyperthermia (MFH) is a promising cancer treatment modality where alternating magnetic field is used for heating cancerous cells loaded with magnetic nanofluids. Of late, it is realized that magnetic nano-carriers in the size range ∼100–200 nm (e.g. magnetic nanocomposites, magnetic liposomes and magnetic nanoemulsions) are ideal candidates for multimodal MFH coupled with drug delivery or photodynamic therapy due to enhanced permeation and retention (EPR) in the leaky vasculature of cancerous tissues. Here, we study the radiofrequency alternating magnetic field induced heating in magnetically polarizable oil-in-water nanoemulsions of hydrodynamic diameter ∼200 nm, containing single domain superparamagnetic nanoparticles of average diameter ∼10 nm in the oil phase. We probe the effects of size polydispersity of the droplets and medium viscosity on the field induced heating efficiency. The contribution of Neel and Brown relaxation of the magnetic nanoparticles on specific absorption rate (SAR) of the magnetic nanoemulsions, was found to increase linearly with the square of the applied field, with a maximum value of 164.4 ± 4.3 W/g_Fe. In magnetic nanoemulsions, the heating is induced by the Neel-Brown relaxation of the MNP over a length scale of 10 nm, and the whole scale Brownian relaxation of the emulsion droplets has over a length scale of 200 nm. The magnetic nanoemulsion sample with lower polydispersity (σ = 0.2) exhibited a significantly higher SAR value (3.3 times higher) as compared to the sample with larger polydispersity (σ = 0.4). The SAR values of the samples with 4.6 and 1.7 wt.% of MNP loading with σ values 0.4 a 0.3, respectively were comparable, suggesting a higher heating efficiency in nanofluid containing particles of lower size polydispersity even at lower particle loading. The emulsion droplets, immobilized in an agar matrix (4 wt.%), gave a maximum SAR value of 41.7 ± 2.4 W/g_Fe as compared to 111.8 ± 3.4 W/g_Fe in the case of droplets dispersed in water, which indicate a ∼40–50% drop in SAR due to abrogation of whole scale Brownian relaxation of the emulsion droplets. This suggests the need for improving the heating efficiency during actual therapy in tissues. The residual SAR of the immobilized sample correlates well with the SAR of the magnetic nanofluid, albeit under a lower external field amplitude due to demagnetization effect of the clusters of MNP loaded inside the droplets. The observed heating efficiency of larger sized magnetic nanoemulsion offer new possibilities for multimodal therapy due to availability of large volume for loading anti-cancer drug or photodynamic agents.