Medical Insurance Coverage in Africa a Possible Key to Improved Healthcare Access, States Frost & Sullivan

CAPE TOWN, South Africa - The medical insurance industry in key Sub-Saharan African countries such
as Kenya, Tanzania, Ghana, Zambia, and Malawi is currently in an
introductory-to-medium growth stage. There is, however, an increasing level
of awareness of the benefits of medical insurance cover among members of the
public.

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“This is further supported by government efforts to expand coverage of
national health insurance schemes such as the National Health Insurance
Scheme and NHIF in Ghana and Tanzania respectively,” notes (
www.medicaldevices.frost.com) Frost & Sullivan Research Analyst
Tiwonge Mkandawire. “The NHIS in Ghana, for instance, currently covers
approximately 8.3 million people, more than double the number of people that
were on the scheme in 2005.”

If you are interested in a virtual brochure, which provides a brief
synopsis of the research and a table of contents of this Frost & Sullivan
study, Medical Insurance in Key Sub-Saharan African Countries, then send an
e-mail to Patrick Cairns, Corporate Communications, at
patrick.cairns@frost.com, with your full name, company name, title, telephone
number, company e-mail address, company website, city, state and country.
Upon receipt of the above information, a brochure will be sent to you by
e-mail.

Economic growth in most of Sub-Saharan Africa will be one of the
determinants of expansion in the medical insurance industry. This is linked
to the rising number of people in the middle-income brackets who are better
able to afford insurance premiums. In addition, corporate bodies in most of
these countries are increasingly relying on private insurers to provide cover
for employees as opposed to managing in-house medical schemes.

Despite the large population base, a significant proportion of people in
these countries remains uninsured due to high levels of poverty and the
inability to afford membership premiums. Additionally, the successful
implementation of medical insurance and the health services provided in these
countries is still largely dependent on political and governmental will in
economic and capacity development.

“There is a large variation in medical insurance coverage in these
countries,” adds Mkandawire. “For instance, Zambia has less that 100,000
people on private insurance, while Kenya and Ghana have more than 8 million
each on some form of medical insurance.”

Low-cost medical insurance schemes could be established with allowances
for government and non-governmental organisations to subsidise membership for
low-income earners who comprise the largest proportion of the population.
Additionally, the expansion of national insurance schemes could provide scope
for the provision of IT and other support services to the insurers linked to
this service.

Despite the challenges, there is strong potential for corporate bodies
and other organisations involved in the provision of medical insurance
products or other supporting services.

“The main opportunities presented in this industry include the
installation and management of IT support systems linking current medical
insurers and health facilities,” concludes Mkandawire. “Low-cost medical
insurance schemes, foreign-based medical services as well as private rural
health facilities are other sectors that offer potential for revenue
generation.”

Medical Insurance in Key Sub-Saharan African Countries is part of the
Medical Devices Growth Partnership Service programme, which also includes
research in the following markets: Strategic Analysis of the Healthcare
Industry in Tanzania, Strategic Analysis of the Healthcare Industry in Kenya
and e-Health Initiatives in West Africa. All research included in
subscriptions provide detailed market opportunities and industry trends that
have been evaluated following extensive interviews with market participants.
Interviews with the press are available.

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Medical Insurance Markets in Key Sub-Saharan African Countries
M2F5

Contact:
Patrick Cairns
Corporate Communications - Africa
P: +27-18-468-2315
E: patrick.cairns@frost.com

www.frost.com

Source: Frost & Sullivan

Patrick Cairns, Corporate Communications - Africa of Frost & Sullivan, +27-18-468-2315, patrick.cairns at frost.com