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National News

Aug 24, 2018
8:56AM

Ayushman Bharat scheme positive initiative for insurance companies: Moody

ayushman-bharat portal
International rating agency Moody’s has said that Ayushman Bharat, the flagship health insurance scheme recently announced by the Prime minister, is a positive initiative for insurance companies as it will aide in higher premium growth. 

The scheme will cover over 10 crore poor families and would provide a health insurance coverage of up to rupees 5 lakh per family per year for secondary and tertiary care hospitalisation. 

According to the report released in Mumbai on Thursday, health insurance contributes around 23 per cent of general insurance premiums and is one of insurers main drivers of growth. 

During fiscal year 2011-12 to 2016-17, health premiums have grown at a compound annual growth rate of 18 per cent. 

The ratings agency has expected that insurers with scale advantages and track records of managing large insurance schemes will benefit from this ambitious initiative of the Central Government.
 

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