Private Healthcare Costs Surge Despite Increased Government Insurance Coverage
Hospitalisation in India has become more privatised and costly from 2017-18 to 2025, according to data from the National Statistical Office. The average out-of-pocket spending for non-childbirth hospitalisation reached ₹34,604 in 2025, significantly higher than the average household's monthly expenditure of ₹21,100 in 2023-24. The share of hospitalisation at public facilities fell from 45.7% to 39.2% in rural areas and from 35.3% to 32.2% in urban areas. Out-of-pocket spending on hospitalisation has increased by 1.88 times, while the proportion of people covered by health insurance rose from 14.1% to 47.4% in rural areas and from 19.1% to 44.3% in urban areas during the same period.
Published 9 hours ago • 21 Apr 2026, 06:59 AM IST