ORGANIZATION
USAID
YEAR PUBLISHED
2006
DESCRIPTION
Increasing access to and utilization of reproductive health (RH) services in developing countries is critical to improve RH outcomes and reach the Millennium Development Goals, especially the reduction in maternal mortality. In most developing countries, there is inadequate public funding of health care services, due in part to the lack of financial resources resulting from limited tax revenues. Households are forced to compensate for the lack of public funding by paying for health care directly at the point of service. The cost of health care, particularly these out-of-pocket payments, constitutes a significant financial barrier to access to health services, especially for the poor. Households’ reliance on out-of-pocket payments makes them financially vulnerable to catastrophic events. A serious illness that results in loss of employment and income coupled with the loss of savings or debt accumulated to pay for out-of-pocket health expenses can easily lead to impoverishment for financially fragile families. To increase health services utilization it is necessary – but not sufficient – to reduce or eliminate financial barriers to access by giving users financial protection against the cost of seeking care. Financial protection improves access.