Total cost per hospitalization in private hospitals is Rs 3,955 higher than in public hospitals in India: IIT Jodhpur study

According to a recent survey by the Indian Institute of India, government and households together spend significantly more per hospitalization in private hospitals than in public hospitals. technology (IIT) Jodhpur. Average total hospitalization cost per day India Rs 2,833 was found for government hospitals and Rs 6,788 for private hospitals.

The researcher provided a comparative study of how much government and families spend on a single episode of hospitalization during visits to public and private health facilities in India. The results of this research were published in the Journal of Health Economics Review, an international peer-reviewed journal.

For a valid comparison between public and for-profit private providers, this study assessed the combined expenditure by the government and households per episode of hospitalization. Supply-side and demand-side spending from public and private sources were taken into account. The study used two datasets – household surveys for data on hospital utilisation, OOPE, cash incentives received by patients and claims made for surveys of public facilities under publicly funded health insurance (PFHI) schemes. .

“Overall, supply-side public spending contributed 16 per cent of total spending, demand-side spending through PFHI 16 per cent, cash incentives by 1 per cent and OOPE up to 67 per cent. OOPE constituted 31 per cent of the total expenditure per episode in public and 86 per cent in private hospitals,” the study said.

This comparative study for public and private hospitals was conducted in Chhattisgarh State with Dr. Alok Ranjan, Assistant Professor, School of Liberal Arts, IIT Jodhpur, Dr. Sameer Garg (first author and Executive Director, State Health Resource Center (SHRC)) . Chhattisgarh), Narayan Tripathi, Senior Program Coordinator, SHRC, and Kirti Kumar Bebarta, Program Associate, SHRC.

Highlighting the need for research, Dr. Alok Ranjan, Assistant Professor, School of Liberal Arts, IIT Jodhpur said, “Provision of inpatient care under public facilities is more cost-effective in India than in the private sector. Therefore, there is an urgent need to invest in public health facilities rather than buying them from the private sector.”

The survey was conducted in 64 health facilities across the state in collaboration with the State Health Resource Centre, a technical agency working for the health department of the Government of Chhattisgarh. The present study found that the overall cost per hospitalization in private hospitals was several times higher than that in public hospitals. This is the first study in this area to empirically present a comprehensive picture of hospitalization cost per case under public and private health facilities in India.

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