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Design Of Incentives In Community Based Health Insurance Schemes

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  • Ahuja, Rajeev
  • Jutting, Johannes Paul

Abstract

Community based health insurance is an emerging and promising concept that has attracted the attention of policy makers as it addresses health care challenges faced by the poor. This paper discusses solutions to important incentive problems in micro-health insurance schemes which threaten their sustainability. In particular, three issues are explored: (i) if defining household as unit of insurance always mitigates adverse selection problem; (ii) how ex ante moral hazard problem can be circumvented through group insurance contract; and (iii) how to set incentives for scheme managers. Various public policies are discussed that help to set appropriate incentives to better manage health insurance schemes in low-income country environments.

Suggested Citation

  • Ahuja, Rajeev & Jutting, Johannes Paul, 2003. "Design Of Incentives In Community Based Health Insurance Schemes," Discussion Papers 18744, University of Bonn, Center for Development Research (ZEF).
    • Handle: RePEc:ags:ubzefd:18744
    DOI: 10.22004/ag.econ.18744
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    Citations

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    Cited by:

    1. Garima Malik, 2006. "An Examination of the Relationship between Health and Economic Growth," Macroeconomics Working Papers 22173, East Asian Bureau of Economic Research.
    2. Rajeev Ahuja, 2005. "Health Insurance for the poor in India: An analytical study," Indian Council for Research on International Economic Relations, New Delhi Working Papers 161, Indian Council for Research on International Economic Relations, New Delhi, India.
    3. Wang, Hong & Zhang, Licheng & Yip, Winnie & Hsiao, William, 2006. "Adverse selection in a voluntary Rural Mutual Health Care health insurance scheme in China," Social Science & Medicine, Elsevier, vol. 63(5), pages 1236-1245, September.
    4. Lazarus MUCHABAIWA & Lloyd CHIGUSIWA & Samuel BINDU & Victoria MUDAVANHU & David DAMIYANO & Bongani Edwin MUSHANYURI, 2017. "Feasibility and Sustainability of Community Based Health Insurance in Rural Areas. Case Study of Musana, Zimbabwe," Expert Journal of Finance, Sprint Investify, vol. 5(1), pages 73-85.
    5. Anindita Chakrabarti & Anand Shankar, 2015. "Determinants of Health Insurance Penetration in India: An Empirical Analysis," Oxford Development Studies, Taylor & Francis Journals, vol. 43(3), pages 379-401, September.
    6. Jutting, Johannes P., 2004. "Do Community-based Health Insurance Schemes Improve Poor People's Access to Health Care? Evidence From Rural Senegal," World Development, Elsevier, vol. 32(2), pages 273-288, February.
    7. Tabor, Steven R., 2005. "Community-based health insurance and social protection policy," Social Protection Discussion Papers and Notes 32545, The World Bank.
    8. Garima Malik, 2006. "An Examination of the relationship between Health and Economic Growth," Indian Council for Research on International Economic Relations, New Delhi Working Papers 185, Indian Council for Research on International Economic Relations, New Delhi, India.
    9. Nishant Kumar & Vijay Kumar Tiwari & Kuldeep Kumar & Kesavan Sreekantan Nair & Sherin Raj & Deoki Nandan, 2015. "Evolving social health scheme for workers in unorganized sector: key evidences from study of cycle rickshaw pullers in Delhi, India," International Journal of Health Planning and Management, Wiley Blackwell, vol. 30(4), pages 366-381, October.

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