Know what are the challenges related to the health insurance industry
Health insurance is one of the fastest-growing service sectors in the country. India has witnessed an overwhelming response in the health insurance sector. Getting health insurance has become a priority for Indians and to make healthcare services affordable; the services offered under health insurance plans are effectively ensuring the health of every individual. However, still, there is less than 15% of the population that opts for a health insurance policy.
The growth of the Indian health insurance industry is expected to remain as long as increased medical costs, population, and rise in lifestyle disorders are going to increase. The health insurance awareness in India is increasing but at a slow rate.
Here are some of the possible factors that are responsible for the challenges faced by the health insurance industry.
• Lack of knowledge about health insurance policy: Many people still think health insurance as a tax saving or an investment tool. Many programs have been organized by Insurance Regulatory Development and Authority of India (IRDAI) to educate the masses about the importance of insurance, but there still remains a gap. The major challenge is that people lack basic education and exposure about health insurance policy.
• Lack of awareness: According to reports, many people save their money and invest it in real estate or put their savings in liquid assets. The majority of people are still not able to understand the benefit of getting a health insurance policy.
• Wrong mindset of people: Many young people think that they are not at the risk of getting any disease; hence, they do not think to opt for a health insurance policy. There are many people who think to opt for a health insurance policy when they fall sick.
• Unavailability of branches in the rural area: Gradually, there have been some branches in tier II and III cities; but, there are hardly any branches in the rural areas. The majority of the potential market is still untouched.
Measures Taken to Control the Challenges of Health Insurance Awareness
In 2008, a health insurance program ‘Rashtriya Swastha Bima Yojana’ was launched to offer healthcare cover to the citizens who are below the poverty line. Many healthcare outlets linked with this scheme conducted health insurance awareness programs across India. The IRDAI stated that the lack of health insurance awareness is one of the obstacles in the penetration of insurance across India.
More measures like Bima Bemisaal have been taken by IRDAI to create awareness about getting a health insurance plan. This awareness program by IRDAI educates the masses about the importance of health insurance.
Religare Health Insurance has also launched a customer awareness campaign named ‘The Moment of the Truth’ in 2019. The main agenda of this campaign was to guide the customer how well they should use their health insurance policy.
It is important for a country to be socio-economically advanced which depends on the overall health of the nation. Knowledge about the health insurance and its clauses will help the masses to understand its importance and would inspire them to buy it. Making the common man aware about the benefits of health insurance is the need of the hour.
Religare Health Insurance is a specialized health insurance company that offers comprehensive health insurance plans to individuals and families. With a 93% claim settlement ratio, we provide a hassle-free claim settlement and complete protection against medical emergencies.