Data shows, almost 75% of medical spending in India is out-of-pocket and only 14% of the population has some form of health insurance. So, there is huge potential for deeper penetration of health insurance segment as our country as it is severely under insured.
The government is also taking health insurance seriously. Providing government-run health insurance to below poverty line (BPL) workers and their families through Rashtriya Swasthya Bima Yojana (RSBY) was a milestone achieved by the government a and the RSBY coverage has been expanding. Universal health coverage for at least 80% of the population by 2020 will also quickly emerge as a key Government priority.
But it is not just the poor in India that needs health insurance. Healthcare costs often burns a whole in the pocket of an average middle class family as well and the rising costs is one of the factors that have helped the fast growth of the health insurance industry in the past few years. However, the focus till now was more on product and distribution. More efforts need to be put in at the industry level to enhance customer awareness.
In 2013, health insurance industry witnessed transformation with the implementation of standardization guidelines which aim to simplify the complexities in the documentation for consumer's better understanding. In 2014, product innovation and focus on quality of service will be help insurers to strengthen reputation and grow as a business, believes Manasije Mishra, CEO Max Bupa health insurance .
"It is an exciting time to be in the health insurance industry--the regulatory sentiments are in the best interests of the industry and customers and will definitely propel the industry forward. In the last few years, the industry has spearheaded towards a positive change however we have only touched the tip of the iceberg and a lot yet remains to be achieved," he says.
We asked the important men of the insurance industry tell what will they do to change the scenario in the next few years to make the product reach every aam-aadmi.
ANTONY JACOB, CEO, APOLLO MUNICH HEALTH INSURANCE: Cashless card for a hassle free 'walk-in - walk out' claim experience.
In the past, lifestyle diseases have been associated with metropolitan cities. But this has changed. For instance, today diabetes afflicts over 65 million Indians and impacts a majority of individuals during their productive working years. All these facts and figures have to be analysed and understood while developing product for the customers' changing needs.
In the past, lifestyle diseases have been associated with metropolitan cities. But this has changed. For instance, today diabetes afflicts over 65 million Indians and impacts a majority of individuals during their productive working years. All these facts and figures have to be analysed and understood while developing product for the customers' changing needs.
On the service delivery standards, we need to work towards a far more automated system with minimal human intervention. Since we are in the business to pay claims, we need to work for a far more efficient and transparent system that can take decision on a real time basis. At Apollo Munich, our immediate aim is to create a system where we can empower our customers and providers to be able to use the cashless card as any other credit or debit card where you can have a hassle free 'walk-in - walk out' claim experience.
BHARGAV DASGUPTA, MD & CEO ICICI LOMBARD: Evolve from being mere health risk financiers to adopting a more proactive approach of managing the customer's health.
We need to introduce health management services such as wellness solutions, knowledge dissemination tools etc. Another case in point is the current focus on In-patient hospitalisation (IPD) benefits. It is a well known fact that Outpatient treatment (OPD) accounts for the bulk of healthcare expenses. Insurers need to introduce specific OPD policies thus aligning their offerings to customer needs.
We need to introduce health management services such as wellness solutions, knowledge dissemination tools etc. Another case in point is the current focus on In-patient hospitalisation (IPD) benefits. It is a well known fact that Outpatient treatment (OPD) accounts for the bulk of healthcare expenses. Insurers need to introduce specific OPD policies thus aligning their offerings to customer needs.
In case of motor insurance, we need to take over the responsibility of ensuring quality repair of the damaged vehicle through tie-ups with service stations instead of merely financing the repair expenses.
BHASKAR JYOTI SARMA, MD and CEO, SBI GENERAL INSURANCE: Standardised treatment, integrated financing and delivery of healthcare
So far the focus has been on in patient coverage. Very soon you will find a whole range of new coverages ranging from outpatient cover, wellness programmes, disease specific covers, expansion in number of day care procedures, etc., coming in.
Owing to major cost implications, there would be greater receptivity to standardised treatment guidelines and medical outcomes. It is just a question of time before the integrated financing and delivery of healthcare emerges.
AMARNATH ANANTHANARAYANAN, MD & CEO, BHARTI AXA GENERAL INSURANCE: Provide a wider choice to the customer and more active at tier-II and III city level.
In a market where most products appear the be similar to customers, product and service differentiation would be the pillars for not just company growth, but also to provide a wider choice to the customer and hence boost penetration.
Further, with the advent of the digital age, and online purchase of insurance, accessibility and reach of insurance to the underinsured segments and Tier II & III cities will be more wide-spread.
No comments:
Post a Comment