Karnataka has emerged as one of India’s top-performing states in shielding families from healthcare expenses, according to the latest National Health Accounts (NHA) estimates, highlighting a healthcare model that combines relatively low out-of-pocket spending with moderate government expenditure.

The report shows that out-of-pocket expenditure (OOPE) accounted for 29.2 per cent of Karnataka’s total health expenditure in 2022-23, significantly lower than the national average of 43.4 per cent.

Among the 21 states covered by the report, only Uttarakhand and Jammu & Kashmir reported comparable figures, placing Karnataka among the best-performing states in reducing the direct financial burden of medical treatment on households.

Lower burden despite modest government spending

What makes Karnataka’s performance notable is that it has achieved a low out-of-pocket burden without relying heavily on government spending.

Government expenditure accounts for 33.2 per cent of the state’s total health expenditure, considerably lower than Uttarakhand and Jammu & Kashmir, where public spending contributes more than 64 per cent.

The report estimates that Karnataka residents spend about ₹2,049 per person annually on healthcare, lower than the national average of ₹2,767. Overall healthcare spending in the state stands at ₹7,024 per person, exceeding the national average.

Government cites health schemes

Health and Family Welfare Department Principal Secretary Ritvik R Pandey attributed the outcome to long-running public health initiatives such as Arogya Karnataka and Yashaswini.

He said access to free medicines, diagnostic services, CT scans, MRI facilities and dialysis at government hospitals has helped reduce dependence on private healthcare providers and lowered healthcare expenses for families.

The state is also expanding advanced healthcare facilities to district and rural hospitals to further reduce patient expenditure.

Experts urge caution

Public health researcher Dr Sylvia Karpagam cautioned against viewing the figures as evidence that all residents are adequately protected.

She noted that many healthcare expenses, including outpatient treatment, medicines, travel costs and follow-up care, often remain outside insurance coverage.

Dr Karpagam also pointed to challenges faced by senior citizens, tribal communities and people living in remote areas, arguing that access gaps continue to exist despite the state’s overall performance.

The findings nevertheless highlight Karnataka’s relative success in reducing healthcare-related financial stress while continuing to debate how best to strengthen public healthcare access and affordability