Health Insurance Thresholds and Policy Implications: A Vietnamese Medical Survey in 2015

Biomedical Research, Vol. 28, Iss. 6, pp. 2432-2438, 2017

7 Pages Posted: 18 Mar 2017

See all articles by Quan Hoang Vuong

Quan Hoang Vuong

Université Libre de Bruxelles (ULB) - Solvay Brussels School of Economics and Management; Phenikaa University

Ha Nguyen

FPT University School of Business (FSB)

Thu-Trang Vuong

Vuong & Associates; Sciences Po, Students

Date Written: March 18, 2017

Abstract

Objective: Vietnam’s healthcare system has undergone numerous reforms while institutionalizing a market-based mechanism. Still the poor cite medical costs and inadequate insurance as the reason to destitution risks. The reality gives rise to evidence on: 1) Effects of residency status, socioeconomic status, medical costs, and insurance on patient satisfaction towards health insurance; 2) Existence of “psychological thresholds” toward cost and insurance coverage. The article addresses these two questions.

Materials and Method: A dataset containing 900 records was collected from a 2014-15 survey on Northern Vietnamese patients, 67% of which with insurance. Attributes include: a) medical expenditures; b) (in)eligibility for insurance coverage; c) dis/satisfaction with insurance; d) length of hospitalization; e) socioeconomic/residency status. The method of analysis is logistic regression techniques involving both discrete and continuous predictor/response variables. Estimations are then used to compute empirical probabilities and threshold values.

Results: Relations are found statistically significant at 5% level, suggesting that insurance coverage and medical expenditures contribute to higher probabilities of satisfaction. Insurance has a stronger influence. Threshold coverage and expenditures show that perceptions are heterogeneous. The poor and non-resident patients show lower threshold coverage of 63.4% (mean=58%).

Conclusions: An overemphasis on raising insurance coverage is unlikely to pay off. To promote the value of health insurance, the target group should be the poor and non-resident patients. It is better for policymakers to promote a diversity of insurance schemes, including micro-health insurance, and to lower medical costs for the target group. Thresholds can serve as a reference value for policy-making.

Keywords: Health insurance, Psychological threshold, Medical expenditures, Healthcare policy, Vietnam

JEL Classification: G22, I13, I14, I18

Suggested Citation

Vuong, Quan Hoang and Nguyen, Ha and Vuong, Thu-Trang, Health Insurance Thresholds and Policy Implications: A Vietnamese Medical Survey in 2015 (March 18, 2017). Biomedical Research, Vol. 28, Iss. 6, pp. 2432-2438, 2017, Available at SSRN: https://ssrn.com/abstract=2935477

Quan Hoang Vuong (Contact Author)

Université Libre de Bruxelles (ULB) - Solvay Brussels School of Economics and Management ( email )

ULB CP 145/01
21 Ave. F.D. Roosevelt
Brussels, Bruxelles 1050
Belgium
+32-2-6504864 (Phone)
+32-2-6504188 (Fax)

HOME PAGE: http://www.ceb-ulb.com/vuong-quan-hoang.html

Phenikaa University ( email )

To Huu road, Yen Nghia
Ha Dong district
Hanoi, Hanoi 100803
Vietnam

HOME PAGE: http://sites.google.com/site/vuongqh2019/

Ha Nguyen

FPT University School of Business (FSB) ( email )

VAS Building C
My Dinh 1, Tu Liem District
Hanoi, 100000
Vietnam

Thu-Trang Vuong

Vuong & Associates ( email )

3/161 Thinh Quang
Dong Da District
Hanoi, 100000
Vietnam

Sciences Po, Students ( email )

28 Rue des Saint-Peres
Paris, Paris 75006
France

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
106
Abstract Views
477
rank
280,787
PlumX Metrics