Civil society appeal to government on health insurance

Civil society organizations have requested government to expedite Uganda's proposed health insurance scheme, in order to lift the standards of health, and to further suppress poverty levels in the country.

The organizations also want government to investigate corruption allegations in the health ministry, and deal with those implicated in accordance with the law.

"Our big concern is how we can have the general health insurance scheme in a corrupt environment, and we believe this alleged corruption is one of the biggest causes of the delays. We also believe the delay is having a profound effect on the economy, since health and production are closely related," Justus Rugambwa, executive director of the Development Network of Indigenous Voluntary Associations (DENIVA) said.

This was during a meeting to highlight civil society's concerns about the proposed health insurance bill, at the Makinnon suites in Nakasero last week.

He said the poverty status reports from the ministry of finance indicates that ill health is the leading cause of poverty in Uganda.

"Most Ugandans spend a fifth of their money on health related issues, yet this money should be injected in projects that lift them out of poverty," he said.

Under the proposed National Health Insurance Bill, 2007, employees especially those in the formal sector (both public and private) are to contribute four percent of their monthly earnings towards universal health insurance services.

Their employers would also contribute another four percent while those in the informal sector or those with no job will be mobilized under saving schemes where the same percentage would be deducted for the insurance.

According to the health ministry's senior health planner, Walimbwa Aliyi, the Ugandan family is projected to grow by at least 6% in 2016, higher than the continental average of 5%, prompting serious investment in the insurance sector.

"Giving Insurance to all is the only way we can be sure as a country that our population is protected from eventualities beyond our control," he said.

He added that that in the new scheme, government's contribute will be 15% while the rest will come from development partners.

Walimbwa said some private insurance companies are however, still uncomfortable with the Bill because it works against them. 

"Private insurance has been available for about a decade, but only the elite tend to obtain coverage. In Uganda, about 3% of the people have private insurance.  Our aim is to have public health insurance for all by 2025," he said.

He said once the law is passed, an independent administrative body will be set up with a mandate to collect the health insurance contributions.

"Those already privately insured will either choose to be insured twice, or abandon private insurance since health insurance will be mandatory," he explained.

The insurance regulatory authority's chief executive, Ibrahim Kadunabi Lubega, said during an earlier interview that the scheme would also increase insurance statistics for the country which currently trails her East African Community partners at approximately 0.7%.

Kadunabi said the sector had been anticipated to grow to 1.3% in 2015, but did not register much head way partly due to low literacy levels; poor outreach and lack of trust in the insurance industry.