BHUBANESWAR: Even as Niti Aayog report on ‘Health insurance for India’s missing middle’ terms Odisha’s Biju Swasthya Kalyan Yojana (BSKY) a comprehensive scheme with extensive coverage, nearly 20 pc of the State’s population is devoid of health insurance.
Of around 4.5 crore population in the State, the government claims 3.5 crore are covered under the BSKY. As Odisha has not yet accepted the Ayushman Bharat - Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), nearly 80 pc population is estimated to be protected by some health insurance coverage, including the State government scheme, social insurance and private insurance schemes.
The coverage of BSKY notwithstanding, nearly 90 lakh still lack any form of financial protection for health and any adverse health conditions can lead them to financial hardships pushing them into poverty. They are the ‘missing middle’ as they are neither poor enough to be covered by the government subsidised insurance nor rich enough to buy private insurance. Despite informal employment and unstable income, they are deprived of social security benefits.
The Niti Aayog report says BSKY also covers the missing middle, but it mostly focuses on economically vulnerable families which are covered under the Food Security Act of both the Centre and the State. Some State extension schemes, including the BSKY, though provide a broader or deeper benefit package and include groups like differently-abled, individuals earning below state-specific income thresholds, there is nothing much for the missing middle.
Highlighting the need for health insurance coverage for all, the report indicated that in spite of having the capacity to pay for health insurance cover, the missing middle is unable to buy because most of the insurance products are targeted towards high income groups.
“The government and the private sector need to come together to reach the missing middle and offer compelling products. The government has an important role to play in increasing consumer awareness and confidence, modifying regulation for standardised product and consumer protection offering a platform to improve operational efficiency,” the report stated.