Part – 1:
Five years ago, when the medical insurance industry is not so famous in India, what would be the cost of an appendicitis surgery, probably around Rs: 5000/-. Now it cost around Rs:80,000/-in which I need to bear Rs:20,000/- out of my pocket (after adding the 10 % cost which I need to bear out of company insurance plus other medicine/ instrument cost which does not come under Medical Insurance cover).
The funniest thing and worth pondering is that, if the medical insurance industry is not there, then my actual cost of surgery would have been just Rs: 20,000/- !!!
In the above transaction only one person gained THE HOSPITAL (& Doctors) and it is neither me nor the Insurance Agency. I did some digging on what really goes on in hospital industry then I found that the doctors in Tier – 1 cities (hold your breath) they do carry business targets. So naturally they will push your medical bill (anyways we are not going to be worried as the insurance company is going to pay the bill). This is a vicious cycle which will catapult the Indian medical insurance industry to a state where American Healthcare system is in now. In fact I see the medical insurance as the GREATEST FAILURE of America in reining the medical cost. Did somebody say America is providing medical tourism to India, well ten or fifteen years from now we (Indians) will be providing medical tourism to China.
On hindsight I was happy that America (Western World) would not be able to push Medical Insurance as a concept to India owning to huge population. But my relief was short-lived. The state governments one after another have stated to issue state run government medical insurance schemes which covers people who are poor and cannot afford good hospitals. The rich and famous obviously they have different means to cover themselves. So as usual it is the middle and the upper middle income group that is caught. Actually we are the target audience for the medical insurance industry and we are jokers who ask Business Channels how much medical insurance we should have. They are happy promoting it for they will be benefitted otherwise.
