Inclusion of mental illnesses in health insurance will boost mental health literacy and help fight stigmatisation in the country
Mental illnesses are a serious problem in India. The issue has been relegated to the sidelines for decades now, but the rising number of people suffering from these illnesses has brought it to the forefront. Nearly 6.5% of the country’s population suffer from some sort of mental disorder, and this is expected to increase up to 20% by 2020. According to the World Health Organisation (WHO), there are nearly 57 million Indians suffering from depression, which is one in every 22 people.
Mental Healthcare Act
The new Mental Healthcare Act seeks to achieve a paradigm shift in the way people perceive mental illness. It replaces the term “mental illness” with “mentally ill,” which suggests that it is a condition that isn’t permanent, and treatable with the right approach. It also ensures the person’s right to mental healthcare with dignity and confidentiality.
Another major change in the Mental Healthcare Act is the directive given to the insurers for providing cover for the treatment of mental illnesses. The clause states, “Every insurer shall make provision for health insurance for treatment of mental illness on the same basis as is available for treatment of physical illness.”
Mental illness cover has been given the same status as that of health insurance cover in the new act. Presently, health insurance only covers aspects relating to physical illness, and that is a huge market. In 2015-16 alone, the premium from health insurance was ₹ 27,457 crore, with a phenomenal growth rate of 21.30% compared to the previous year.
Mental Insurance Elsewhere
Mental health insurance is an existing offering that is already prevalent in many countries. However, the coverage differs from country to country. The extent of coverage varies with certain limits with respect to the number of outpatient visits, number of hospitalisations, the amount spent and so on.
The UK has comprehensive health insurance policies that cover a wide range of healthcare services spanning medical, surgical, psychiatric, and psychological services. Coverage in Indonesia is different in the sense that only public insurance comes with mental insurance, whereas private insurers do not offer it. Similarly, the coverage varies for other nations also.