Sri Lankans confronted with “financing gap” in health needs, AIA survey

AIA Group (AIA), in a new study, has found that people in Sri Lanka face a considerable “financing gap” where savings, current levels of insurance and government health provisions may not be enough to pay for the treatment for critical illnesses (such as cancer, heart disease, diabetes or other serious conditions).

The findings are part of the latest AIA Healthy Living Index Survey, the fourth since 2011, which highlights the prevailing health trends, motivations and concerns for individuals and communities across Asia-Pacific, the company said in a media release.

In Sri Lanka, 41 per cent of people are concerned about the potential costs of critical illness. When asked to estimate the cost of treatment for heart disease they expect they would have to bear, over onefifth ( 21 per cent) estimate an amount that would have serious financial implications for them, it was revealed.

The concern is justified when the expected financing gap is taken into account. For cancer treatment, respondents who think they would not be able to afford treatment expect an average shortfall of 83 per cent of the costs they would have to bear. Across people who cannot afford treatment in Sri Lanka, the financing gap for heart disease is 75 per cent and for diabetes 92 per cent of direct costs, it was noted.

Overall, people’s satisfaction with their health and habits in Sri Lanka has declined since the previous AIA Healthy Living Index in 2016. Some 77 per cent of respondents are satisfied with their health, down from 89 per cent in 2016.

The results are likely to reflect changing expectations about ideal healthy lifestyles and behaviours as much as changing habits. Along with a drop in satisfaction levels, people are less likely to behave more healthily. On average, respondents in Sri Lanka claim to do 1.4 hours of exercise each week – a decrease from 2.1 hours claimed in 2016.

Commenting on the survey, CEO AIA Sri Lanka Pankaj Banerjee said, “most people underestimate the financial impact that a serious illness has on their assets and savings…both in terms of being able to afford the best care and in recovery from a serious illness. It is therefore vitally important for people to be conscious of the need to make healthy lifestyle habits while also ensuring to be well prepared to handle any eventualities. As an insurer, this is where AIA can help, with products, propositions and programmes that help you live healthier, longer, better- so you can make the most of life.”

The AIA Healthy Living Index surveyed 11,000 adults in 16 of AIA’s markets and was commissioned by AIA and conducted by IPSOS, a leading consumer research company.