The Problem with Modi Care
Indian finance minister presented annual budget 2018-19 which will have multidimensional impacts in coming future like general election 2019, portfolio investments, GDP growth, job creation and so on though the market has shown adverse signs and deep down by 500 points due to the implementation of a tax on Long Term Capital Gain (LTCG). But matter of fact mesmerizes me is so-called Modi care (National Health Protection Scheme) compared with Obama care or Affordable Care Act (ACA) which was implemented by the US Democratic regime after 2010. ACA prevented American family from uncertainty it was assumed that ACA provides 151 dollars of medical insurance to its every citizen by directing companies a compulsory insurance to its employees, senior citizens were brought under Donut Hole (a cap of certain limit under which patients can buy their important drugs almost free sponsor by the state) various insurance company has been eased by trillions of money to `ensure and secure their clients, insurance provided to those patients who are pre occupied by any diseases, women’s are assured to pay equally as men during her treatment.
I think finding similarity between ACA and Indian health care (Modi care) will be ludicrous this is because (accord to Central Bureau of Health Intelligence) only twenty percent of India population have an insurance plan and that plan only ensure the head of the family. Budget 2018 targets to ensure more than ten million poor by ensuring each family with five lakh rupees but the problem is the amount of money which assumed to be more than one billion INR and entire cost will be sponsor by the centre and state government in 60:40 ratio. It will be bitter task for government to provide risk cover more than a billion population therefore different alternative should be pondered. The efficient way could be to provide tax credits for those private firms those who provide insurance to their employees and insurance company should utilise more than sixty to seventy percent of their funds towards care rather than invest it in market for lucrative results company like LIC India a leading insurance company had utilised their major funds while paying during maturity of policy plans, death of insurer and to pay salary to their employee but almost nothing in the treatment of insurer obviously insurance should ensure a better treatment gaurentee to living individual rather than wait for uncertainty. I think government should better secure those individuals who work for private enterprises by ensuring compulsory insurance policy before employing any individual secondly enhancing the rules to provided insurance to those people who are preoccupied by any diseases this is because most of the insurance firms refuse to secure old men and women who are preoccupied with disease or demands much more premium with less maturity period as compare to normal young fellow. In Indian context, much of the insurance policy does not cover cost of drugs but the only cost of treatment which should be taken into consideration, therefore, majority of Indian family and including insurance companies consider insurance as the sum of investment and relent insurance to cure uncertainty.
Department of Economics