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. 2024 Aug 20:8:27550834241262108.
doi: 10.1177/27550834241262108. eCollection 2024 Jan-Dec.

Out-of-pocket healthcare expenditure in emerging economies: Evidence from panel data analysis

Sanju Kaladharan  1 , Dhanya Manayath  1
Affiliations

Out-of-pocket healthcare expenditure in emerging economies: Evidence from panel data analysis

Sanju Kaladharan et al. J Med Access. .

Abstract

Background: Achieving universal health coverage is one of the prominent targets of the United Nations' sustainable development goals. Reducing out-of-pocket expenditure (OOPE) is essential because high OOPE can deter the use of healthcare services, which can lead to poor health outcomes and medical impoverishment.

Objectives: The study sought to determine the effects of various factors such as Domestic General Government Health Expenditure, Gross Domestic Product, Government schemes and compulsory contributory healthcare financing schemes, and Voluntary health insurance schemes on OOPE per Capita in emerging economies.

Design: Econometric methods using panel data.

Data sources and methods: The study analyzed the publicly available panel data from the World Health Organization using fixed, random, and dynamic models.

Results: Domestic General Government Health Expenditure and Gross Domestic Product are associated with an increase in OOPE. Government schemes, compulsory contributory healthcare financing schemes, and voluntary health insurance programs are linked to a reduction in OOPE.

Conclusion: In conclusion, this study, conducted through econometric methods on panel data, sheds light on the critical importance of reducing OOPE to achieve universal health coverage, aligning with the United Nations' sustainable development goals. Countries shall implement a holistic approach focusing on preventive healthcare and health promotion, providing comprehensive health insurance, strengthening public health systems, and regulating medicine prices.

Keywords: Out-of-pocket expenditure; emerging economies; health financing; universal health coverage.

Plain language summary

Making healthcare affordable in emerging economies This study examines how to make healthcare more affordable in developing countries. People often skip needed care due to high out-of-pocket costs (money paid directly for medical services). The researchers analyzed data across multiple countries to see what affects these costs. They found that while government spending on healthcare and a strong economy are good things, they can ironically lead to people paying more out of pocket for medical care. However, government healthcare programs, mandatory health insurance, and even voluntary insurance plans can all help bring these costs down. The study suggests that keeping these out-of-pocket costs low is key to achieving the United Nations’ goal of everyone having access to healthcare. Countries can achieve this by focusing on preventive care, ensuring everyone has health insurance, strengthening public health systems, and keeping the price of medicine under control.

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Conflict of interest statement

The author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

Figures

Figure 1.
Figure 1.
OOPE (2000–2020) in Emerging economies according to the income groups.
Figure 2.
Figure 2.
GDP vs OOPE Income group-wise.
Figure 3.
Figure 3.
GGHED vs OOPE Income GroupWise.
Figure 4.
Figure 4.
VHIS vs OOPE Income GroupWise.
Figure 5.
Figure 5.
A strategic framework for reducing OOPE.
See this image and copyright information in PMC

References

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    1. Kutzin J, Witter S, Jowett M, et al. Developing a national health financing strategy: a reference guide. Geneva: World Health Organization, 2017.

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