The cost of healthcare in India is rising at an alarming annual rate of 14%, according to the latest findings from the ACKO India Health Insurance Index 2024. The report sheds light on how inflation in the healthcare sector continues to place a growing financial strain on households across the country.
The Index highlights that healthcare expenses are increasing at a double-digit rate each year, with healthcare inflation reported at 14% in 2024. The rising costs are becoming a significant burden on families, particularly because 23% of hospital charges are covered through borrowings, leaving many households vulnerable to financial instability.
Out-of-pocket expenses and the need for better coverage
With 62% of healthcare costs being paid out of pocket by Indian citizens, the report underscores the urgent need for improved healthcare coverage. This trend indicates that many families are not sufficiently protected against unexpected medical emergencies, further exacerbating financial hardships.
“Health coverage must evolve to prevent medical crises from becoming financial crises for families,” the report stresses, calling for more accessible and comprehensive insurance options.
Kidney disease claims soar in Delhi, Kochi, and beyond
One of the more alarming trends highlighted in the report is the high prevalence of kidney disease in Delhi, which has emerged as the capital for kidney-related health insurance claims. The index states that Delhi NCR had the highest proportion of such claims, with Kochi following closely behind. Other cities, including Secunderabad, Bengaluru, and Jaipur, also reported claim numbers above the national average.
“Delhi is the capital for kidney disease, followed by Kochi. Delhi NCR had the highest share of claims related to kidney health. Kochi, Secunderabad, Bengaluru, and Jaipur’s share of claims was above the national average,” the report said.
The average age of patients making claims for kidney and renal conditions is 47, reflecting a serious public health concern. The financial burden for these patients is considerable, with the largest bill for kidney-related treatment last year amounting to ₹24,73,894.
Rising heart disease claims in Kolkata and Mumbai
In addition to kidney health, heart disease remains a significant concern. The report noted that Kolkata and Mumbai topped the list of cities for claims related to circulatory system disorders, such as heart attacks. These cities saw a notable increase in hospitalizations for heart-related issues, particularly among individuals between the ages of 31 and 50.
“Kolkata and Mumbai topped the list of metros when it came to disorders of the circulatory system like heart attacks,” the report stated.
Cancer cases on the rise
The report also flagged an alarming increase in cancer cases, predicting a 13% rise from 2020 to 2025. This surge is expected to place additional pressure on the already strained healthcare system.
Government initiatives aim to ease the burden
In response to the growing healthcare challenges, the Indian government has launched several initiatives aimed at improving healthcare access. On September 11, the Union Cabinet approved a policy that extends health coverage to all senior citizens aged 70 years and above, regardless of income, under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB PM-JAY).
With this new policy, senior citizens over the age of 70 can now access health benefits under the world’s largest publicly funded health assurance scheme. AB PM-JAY offers health coverage of ₹5 lakh per family per year for secondary and tertiary care hospitalization, covering all eligible family members regardless of age or socio-economic status.
Related posts:
