S&P Global Ratings has said that the healthcare scheme announced in the Budget will be a game changer for India's health industry and generate substantial growth in insurers' premiums.
Commenting on the issue, a S&P Official told the media, “The insurance sector is slated to get a boost once the NHPS scheme is implemented as it reflects the government's intent to expand the country's protection umbrella, and could have far-reaching implications for the domestic insurance sector.”
"We believe the proposal has the potential to be a game changer for the health industry based on its sheer coverage size and scope," he said.
"An effectively executed National Health Protection Scheme (NHPS) will bring coverage to 40 per cent of the population and generate substantial growth in health insurers' premiums and increased cross-selling opportunities," he added.
As per reports, the scheme, which would be the world's largest government healthcare programme, was announced earlier this month in the Union Budget 2018-19 for providing medical cover of up to Rs 5 lakh to over 10 crore poor and vulnerable families, constituting 40 per cent of India's total population.