Can Social Health Insurance Be Successfully Introduced and Expanded in Papua New Guinea?
Cross-country comparisons have identified several enabling conditions required to ensure the sustainability of payroll tax-based systems. These are: (i) a large formal labour market; (ii) a growing economy; (iii) an administrative capacity for coll...
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Format: | Brief |
Language: | English en_US |
Published: |
World Bank, Washington, DC
2015
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Online Access: | http://documents.worldbank.org/curated/en/2015/01/23175141/can-social-health-insurance-successfully-introduced-expanded-papua-new-guinea http://hdl.handle.net/10986/22585 |
Summary: | Cross-country comparisons have
identified several enabling conditions required to ensure
the sustainability of payroll tax-based systems. These are:
(i) a large formal labour market; (ii) a growing economy;
(iii) an administrative capacity for collection; and (iv)
good regulatory and oversight structures. Political
willingness is another important factor. The brief below
discusses in detail the technical enabling conditions in the
context to introduce and expand social health insurance in
Papua New Guinea (PNG). Successful introduction of social
health insurance (SHI) financing in PNG will, in part,
depend on the feasibility of expanding coverage to the
entire population, including the informal sector. A second
important factor is how an increase in contribution rates
will affect labour and capital markets. Expanding SHI
coverage to the informal sector will be challenging in
almost all contexts. The population in the formal sector is
relatively easy to enrol and collect contributions from due
to the availability of employment earnings records. The
population in the informal sector is typically not
affiliated with any organisation from which to enrol and
collect premiums. They are also poorer and less able to
afford premiums. |
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