Awareness and perception regarding health insurance in Bangalore rural population

Abstract

Background: Awareness and perception regarding health insurance was still very preliminary. Although health insurance is not a new concept and people are also getting familiar with it, yet this awareness has not reached to the level of subscription of health insurance products. Insurance as not been able to make inroads in the rural areas because of key reasons such as high cost of delivery and low awareness among the rural population about insurance products. There is a felt need to provide financial protection to rural families for the treatment of major ailments, requiring hospitalization and surgery. The present study is an effort in the area of health insurance to assess the individuals' awareness level and willingness to join and pay for it. The present study is an effort to examine what are the reasons behind those who have not in favour of subscription. Methods: Nandagudi a village in Bangalore rural district was selected because the Rural Health Training Centre of MVJ Medical College & RH is located. The houses were listed and by using systematic random sampling every 2nd house was included in the study. 331 houses were interviewed. The interview was taken either from the head of the family or the family member who takes financial decisions in the house. Data was collected and analysed. Findings were described in terms of proportions and percentages. Statistical analysis was performed by SPSS statistical package. Results: In our study population majority were males (94.9%), Hindus (60%), literate (85%),and manual workers (79.5%).Only one third of the houses were aware of health insurance but only 22% had health insurance coverage. The coverage was not for all family members. The subscription depended on education, socio-economic status, type of family. The willingness to pay a premium was Rs 500 per year in 31% of the families. It was observed that the main barriers for the subscription of health insurance were low income or uncertainty of income (43%), are not reliable (27%), not taken by friends or relatives (18%), prefer to invest somewhere else (11%), not adequate knowledge regarding its benefits (16%), do not feel the need (29%).