Pharma firms want ObamaCare like health insurance in India

Industry says Health insurance is most under-penetrated in India, health sector is most neglected aspect of policy making

Pharmaceutical companies are making a pitch to Prime Minister Narendra Modi to subsidise health insurance with a view to make it universal.

"We would like the government to provide health insurance on the lines of ObamaCare. Let the people pay for insurance. I am not saying the government pay for it. But today if one wants to avail health insurance it costs Rs Rs 4,000-5,000. Insurance companies will be able to offer cover at reduced premiums if they get aggregated demand or government gives a part subsidy. This way people in India can get quality health care," said Annaswamy Vaidheesh, GSK Pharmaceuticals' managing director in India.

Vaidheesh said GSK and other members of Organisation of Pharmaceutical Producers of India (OPPI) along with industry body Confederation of Indian Industry (CII) are discussing the proposal. "We are working on action plan and we will submit it to the government. If we are able to introduce this it will transform health delivery in India.," he added.

"Health insurance is most under-penetrated in India and the health sector is most neglected aspect of policy making. We hope this is rectified. We are in constant discussions with the government," added Ranjit Shahani, vice chairman of Novartis India.

In 2010 the US government enacted the Patient Protection and Affordable Care Act (known as ObamaCare) to give more Americans access to affordable, quality health insurance and to reduce the growth in health care spending.