Health Insurance Reform Report Made Public, Minister Paudel Plans to Strengthen Insurance Fund

Kathmandu – The Ministry of Health and Population has released the report of Health Insurance Reforms Recommendations Task Force at a program held on Sunday (March 16).

During a program at the Ministry, Health and Population Minister Pradeep Paudel emphasized that health insurance could be effectively managed by ensuring cooperation among all levels of government.

“We have begun implementing an action plan prepared by the Ministry and the Health Insurance Board. Now it will be made mandatory to have a unit at every local level to provide health insurance.” said Minister Paudel.

Paudel announced that every local level would soon have a dedicated unit to manage health insurance. He highlighted that the existing health insurance fund, currently valued at Rs. 30 billion, could be better utilized through a single-door system to address financial challenges.

The government plans to increase the health insurance budget from the current Rs. 3 billion to Rs. 10 billion in the next fiscal year. To further support the fund, taxes on sugary products, alcohol, tobacco, and pollution-causing items will be directed toward the health insurance fund. “We are working to ensure that these tax revenues are transferred directly to the insurance fund without adding pressure on citizens,” Paudel added.

The minister also proposed a plan to cover health insurance for state employees by deducting one percent of their salary, with the government matching the contribution. He expressed confidence that these reforms would strengthen the health insurance system and advance health-related socialism in Nepal.