Can each Hospital give health care to its patients on principles of insurance by taking fee(premium) directly?



Instead of having a Medi-claim policy by paying heavy premium to Insurance Company, can there be direct dealing by each Hospital? Will it not be profitable to the Hospital as well as Citizen? Is such scheme tried in the past anywhere with what results? Only disadvantage to citizen can be, he has to confine to one particular Hospital.

4 Replies to “Can each Hospital give health care to its patients on principles of insurance by taking fee(premium) directly?”

  1. Well, many hospital systems run their own insurance plans.

    Also, any patient is welcome to negotiate a cash price with the hospital to pay for their own services.



  2. Well for viability of any insurance scheme, the risk needs to be spread amongst a large population. A hospital collecting premium may not be able to reach large masses. At the same time, only population in its catchment area will be the market for health insurance provided by the hospital.
    On the other side, an insurance company can really spread the risk over to a large population, as people any where in country can take the insurance plan and get treatment in any of the large no. of empanelled hospitals.

    The hospital also may not like to enter into the additional administrative hassles of health insurance. After all every business has its core objectives and vision/mission.

    More aspects related to hospitals and its management can be read on http://www.hospiman.blogspot.com






Leave a Reply

Your email address will not be published. Required fields are marked *

two + 9 =