Hospitals in India Experience Downward Pricing

By Phm International Inc., PRNE
Monday, July 26, 2010

SEBASTIAN, Florida, July 27, 2010 - This month, as predicted in the February 2008 issue of the PHM Emerging
Markets Healthcare Monitor, insurance companies in India announced that they
would only work with hospitals that meet their pricing demands. These firms
control nearly 70% of the Indian health insurance market.

Hank Kearney, president of PHM International, Inc.
(www.phmintl.com) a worldwide healthcare consultancy and publisher of
the PHM Emerging Markets Healthcare Monitor, further noted in the 2008 issue
that India's healthcare sector would have to deal with pricing disruptions
and the insurance companies would be the first to push down costs of hospital
care.

In February 2009 Kearney wrote "After all, India's private hospital
sector is low hanging fruit for the likes of…" insurance companies. And as
recently as December, 2009, it was noted "The next step in this product
[insurance] development process will be negotiated pricing with providers."

The four insurance companies, National Insurance Co., India Assurance
Co., Oriental Insurance Co., and United India Insurance Co., all claim the
reduced hospital pricing will lower costs for consumers.

"This is not a surprise and it will be a challenge for the Indian
hospital market and its investors. Those hospitals contracted with private
insurance companies still have the upper hand, but not for long. We certainly
expect to see continued sector growth. Executive boards and management will
now be held accountable for ever smaller margins," Kearney said.

About the PHM Emerging Markets Healthcare Monitor

The PHM Emerging Markets Healthcare Monitor is a monthly commentary on
healthcare developments and transactions in emerging markets. Targeted to
institutional investment, private equity, banking, legal, and industry
C-suite executives, subscribers also receive a complimentary "Weekly News
Feed" of important developments.

About PHM International

PHM International is a worldwide healthcare and insurance sector
consultancy. Since 1997 it has developed a core specialisation in advisory
services in emerging markets. Target clients include healthcare
organisations, financial firms, pharmaceutical companies, and insurance
institutions. PHM International is headquartered in Florida. PHM Macedonia,
LLC is a PHM International licensee based in Skopje.

Available Topic Expert(s): For information on the listed expert(s), click
appropriate link.

Hank Kearney

https://profnet.prnewswire.com/Subscriber/ExpertProfile.aspx?ei=60279

    Contact: PHM International, Inc.
             Margaret Baarman
             Margaret@phmintl.com
             +1-772-388-6496
             www.phmintl.com

Margaret Baarman of PHM International, Inc., +1-772-388-6496, Margaret at phmintl.com, www.phmintl.com

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