A study on health insurance with special reference to the city of Chennai

According to National Sample Survey, 80% of the population are still not covered with Health Insurance in spite of implementing Rashtriya Swasthiya Bhima Yojana (RSBY) sponsored by the Central and State Govt in India and in that more than 86% of them are rural population and 82% of them are urban population. The RSBY access is availed by only 12% from urban population and 13% by the population in rural India. This has become a showcase tool. The purpose of this paper is to examine and evaluate the Demographic factors which may be responsible for the Insurance penetration among the working class in the City of Chennai as the respondents are individuals working in manufacturing, banking, Information technology and self employed. It depends on Employer sponsored insurance and affordability of Health Insurance cover is based on Annual Income. This study is conducted with 129 samples taken on different factors from the working class in Chennai. Factors like Income, Age, Gender and Premium were found to be the parameters for penetration of insurance. Further the Insurance coverage has a direct impact on the Insured like Tax Concessions, Discounts in premiums, coverage of dependents etc.