Impact of Community Based Health Insurance on Social Relations: A Case Study of Karnataka

In India the poor and marginalized sections like Scheduled Castes, Scheduled Tribes, Women and Muslims face more health risks than the well off. To combat these risks; the poor do pro-active risk management like savings, asset accumulation, loans from friends and relatives, self-insurance and mutual insurance etc. However, the prevalent forms of risk management, which were appropriate earlier, are no longer adequate (NABARD, 2008). Because, both secondary and tertiary health care is often too expensive for people with low incomes. As a result, those with conditions requiring secondary and tertiary health care often go untreated or are left with devastating hospital bills, both of which exacerbate poverty. Hence, providing health insurance is very essential.