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Title |
The administrative costs of community-based
health insurance: a case study of the
community health fund in Tanzania |
Author(s) |
Josephine Borghi, Suzan Makawia and August Kuwawenaruwa - Personal Name
|
Subject |
Health Economy |
Publisher |
Oxford University Press |
Publishing Year |
2013 |
Specific Detail Info |
Community-based health insurance expansion has been proposed as a financing
solution for the sizable informal sector in low-income settings. However, there is
limited evidence of the administrative costs of such schemes. We assessed annual
facility and district-level costs of running the Community Health Fund (CHF), a
voluntary health insurance scheme for the informal sector in a rural and an urban
district from the same region in Tanzania. Information on resource use, CHF
membership and revenue was obtained from district managers and health workers
from two facilities in each district. The administrative cost per CHF member
household and the cost to revenue ratio were estimated. Revenue collection was the
most costly activity at facility level (78% of total costs), followed by stewardship and
management (13%) and pooling of funds (10%). Stewardship and management
was the main activity at district level. The administration cost per CHF member
household ranged from USD 3.33 to USD 12.12 per year. The cost to revenue ratio
ranged from 50% to 364%. The cost of administering the CHF was high relative to
revenue generated. Similar studies from other settings should be encouraged. |
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