Financial Viability of District Mutual Health Insurance

Abstract

Healthcare systems in many developing countries do not have enough healthcare providers or healthcare facilities to service their populations. In recent times, nations and groups are setting up health insurance programmes as one way of addressing the myriad of problems that confront healthcare delivery. Develtere et al., discussed the role of mutual health insurance in helping address the situation.1 They drew heavily on the 2003 seminar organised by the Belgian Raiffeisen Foundation, titled Mutual Health In-surance – In Search of Success Factors Learned Through Belgian Field Experience in Developing Countries.2 They concluded that it is best to look at such insurance institu-tions as affording social protection in the health care sec-tor. On financial viability, they argued that it is important for such institutions to find the right balance between individual contributions and refunds to service providers. Building up reserves against “rainy” days is also impor-tant, as is re-insurance.