Direct healthcare costs, not covered under insurance, fall to 39.4%

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Key Points

India has experienced a reduction in out-of-pocket expenditure as a share of total health expenditure, dropping from 64.2% in 2013-14 to 39.4% in 2021-22, signalling a positive trend according to the National Health Accounts Estimates for 2020-21 and 2021-22, released by the Health Ministry on Wednesday...

Out-of-pocket expenditure refers to the direct payments made by individuals for healthcare services at the time of treatment, which are not covered by insurance or any other financial protection schemes...

The report also highlighted that the share of government health expenditure in the country's Gross Domestic Product (GDP) rose from 1.13% in 2014-15 to 1.84% in 2021-22...

The share of GHE in the General Government Expenditure (GGE) has also increased from 3.94% to 6.12% over the same period.. Per capita government health spending has tripled, from Rs 1,108 in 2014-15 to Rs 3,169 in 2021-22..

SSE's share in Total Health Expenditure increased from 5.7% in 2014-15 to 8.7% in 2021-22, providing a safety net for individuals accessing essential healthcare services...