Friday 4 May 2012

Private insurance cover for Meghalaya

Guwahati/Shillong, May 4 : The International Finance Corporation, the private sector arm of the World Bank, will help Meghalaya to implement a universal health insurance plan, which will benefit the state’s population of over three million, including those from low and middle-income households, currently without health coverage.

This is the second time the corporation will aid Meghalaya in the healthcare sector.

An agreement was signed today between Donald Wah-lang, commissioner secretary, health and family welfare, Meghalaya and Karin Finkelston, IFC vice-president Asia Pacific, in a meeting in Shillong, chaired by Meghalaya chief secretary W.S. Pariat.

In 2010, the corporation advised the state on providing quality healthcare and training.

“Through this first-of-its kind scheme in India, Meghalaya will be able to expand healthcare services to all,” said Wahlang, in a communiqué issued by the corporation.

Wahlang said in the long term, this would help address the shortage of trained medical and paramedical staff in the Northeast.

Meghalaya had started implementing Rashtriya Swasthya Bima Yojana in 2009, demonstrating a commitment to strengthen health infrastructure in the state.

Under the programme, the corporation works jointly with the World Bank to assist the state in designing and implementing the insurance plan, including promoting private sector participation.

It will broaden coverage for local families, allowing them to obtain quality healthcare and specialised treatment close to home.

The project is also supported by the UK’s department for international development.

The project will be implemented in two phases.

In the first, the plan will extend insurance coverage to more than 80 per cent of the residents not covered by Meghalaya’s current programme.

The second phase will include coverage for a broader range of diseases and tertiary healthcare delivery, all under higher financial cover.

“By introducing an efficient and independent paying mechanism, the project will promote private sector participation in offering healthcare to the insured,” said Karin Finkelston, IFC vice-president for Asia-Pacific.

“Increasing the paying capacity of the rural poor will encourage the private sector to provide services in smaller and remote towns and villages.”

“With steep health expenditures affecting the poor, government-sponsored health insurance schemes offer new possibilities towards attaining universal coverage,” said Julie McLaughlin, World Bank sector manager for health, nutrition and population for South Asia.

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