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Health care costs UPSC NOTE

 Challenges and opportunities in setting medical procedure rates in India

  • As the Supreme Court deliberates on standardising medical procedure rates across government and private sectors, we must consider the allure of affordability. 

  • Yet, imposing one-size-fits-all price caps could severely undermine health-care quality

  • A Health Care Management Review study shows that hospitals under financial pressure from price caps report a 15% increase in patient dissatisfaction

  • Moreover, such caps could drastically slow the development of new treatments and technologies, notably in fields such as cancer research and robotic surgery, where significant investment is crucial. 

  • Economists recommend dynamic pricing models that adjust based on medical complexity and the financial status of patients, offering a fair solution

  • Tailoring approaches to accommodate local demographic and economic conditions can support rate standardisation and high-quality care

  • Technology is revolutionising health care, making diagnostics faster and more accurate with artificial intelligence and improving care coordination through electronic health records.

  • Moreover, innovations such as mobile health apps and wearable devices are crucial in managing chronic conditions outside hospitals, significantly cutting costs and enhancing patient outcomes

  • Data analytics can shed light on patient outcomes, treatment efficacy, and cost-efficiency, informing more nuanced rate-setting frameworks

  • Moreover, predictive analytics could foresee the long-term impacts of rate fixation on health-care innovations, helping policymakers adjust regulations to encourage innovation and accessibility.

  • Examples of the Joint Commission International (JCI) and NABH (National Accreditation Board for Hospitals)-accredited big hospital groups, have embraced cutting-edge technologies to significantly enhance patient outcomes, especially in complex procedures

Joint Commission International (JCI)

  • Joint Commission International (JCI) is recognized as a global leader for health care quality of care and patient safety.

  • Established in 1998 as a division of Joint Commission Resources, Inc. (JCR), a not-for-profit, private affiliate of the Joint Commission, USA


  • National Accreditation Board for Hospitals & Healthcare Providers, abbreviated as NABH, is a constituent board of Quality Council of India (QCI), set up to establish and operate accreditation programme for healthcare organizations. 

  • Formed in 2005, it is the principal accreditation for hospitals in India

  • The official website of QCI should be referred for application and implementation of healthcare standards

  • The Quality Council of India works under the guidance of Ministry of Commerce.

  • NABH performs three main functions:

    • Accreditation

    • Certification

    • Empanelment



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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: Health care costs UPSC NOTE
Health care costs UPSC NOTE
Learnerz IAS | Concept oriented UPSC Classes in Malayalam
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