Importance Of Health Insurance

The penetration of the health insurance concept is relatively low in India, which explains why many people are bereft of timely medical aid. The rising cost of treatment in the country has led to inequitable access to health care services. According to details published in the National Health Profile 2018 unveiled in June 2018, only 27 percent of the country’s total population has health coverage. This means that there is still an ardent need to improve and expand the insurance coverage that covers only a percentage of the country’s vast population. Out of the total number of Indians who have bought health insurance to date, roughly 79 percent were covered by the public insurance companies whereas the rest had accessed the necessary cover from private insurance companies. 

While the National Health Programmes have played a prominent role in tackling the grievous health disorders in India, the share of public expenditure on health by the Centre is gradually decreasing. Many people in their younger years do not realize the need for having an adequate medical cover to tackle the burden of sudden medical emergencies. Since the young are less likely to fall ill or be diagnosed with any serious disorder, they fail to realize how paying a nominal premium for health insurance will ensure them the freedom to seek the best possible treatment in the long run. Moreover, the insured can get themselves treated at their choice of hospital, provided that it is listed in the network of hospitals of the insurance company they have chosen to be associated with.