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Started 4 days ago · Updated 3 days ago

Finance Minister Wagle Announces Health Insurance Restructuring Amid Financial Concerns

Photo · risingnepaldaily.com

Finance Minister Dr. Swarnim Wagle announced that the national health insurance program will be restructured in the upcoming fiscal year's budget due to financial unsustainability. Addressing the National Assembly's Development, Economic Affairs, and Good Governance Committee, he stated that claims have significantly exceeded allocations, leading to difficulties in payments and highlighting misuse within private hospitals. The proposed restructuring aims to ensure basic healthcare for the poor while introducing a contribution-based system for those who can afford it.

  • The current health insurance program is not sustainable, with claims reaching 25-30 billion rupees against a 10 billion rupee allocation last year.
  • Misuse and unnecessary tests, particularly in private hospitals, have contributed to the program's financial instability.
  • The government plans to 'right-size' the program, continuing to subsidize basic healthcare for the underprivileged.
  • Affluent citizens will be moved to a contribution-based insurance system, and the government is considering diverting 'sin taxes' to the fund.
  • Without structural changes, the health insurance system risks total collapse.

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