When unexpected illness occurs, medical expenses can quickly overwhelm a family. Transportation costs, doctors’ fees, medicines, and hospital charges combined with unpaid time away from work can add up to financial catastrophe. To protect families from financial risk, Health Systems 20/20, USAID's flagship project for strengthening health systems worldwide, is partnering with governments and local organizations in Africa to develop affordable ways to cover health costs and also ensure families receive the health care they need.
By following strategies that improve governance, operations, financing, and human resources, Health Systems 20/20 is supporting 55 countries to reach their health Millennium Development goals.
One of those countries is Mali, where the average annual income is $1,200 and more than 30% of the population lives below the poverty line. In January, the government will launch the first phase of an ambitious three-year plan to expand community-based health insurance or CBHI to an additional 1.2 million people in the informal sector.
“Mali is a shining star. Drawing on our expertise in health financing and our extensive experience in Africa, Health Systems 20/20 has helped to bring affordable health care to tens of thousands of families for the first time,” says Ann Lion, vice president and project director, Health Systems 20/20.
How does community-based health insurance work? Essentially, community groups recruit families to voluntarily join local financing schemes, known as mutual health organizations (MHOs). Members pay regular contributions or premiums, which are managed by the community group and used to pay the fees for a set of health care benefits provided by specified government or private providers. Benefits typically include immunizations, family planning, prenatal care, assisted delivery, and well baby check-ups. Under Mali’s new strategy, hospital care services will also be offered because the level of premium will increase thanks to the government’s subsidization.
“In addition to helping people get the health services they need, and to breaking down financial barriers, the MHOs will also improve governance issues. The people will have a voice and be better organized,” observes Cheikh Mbengue, Health Systems 20/20’s Africa Regional Coordinator.
In January, the Malian government will put its new policy into action by rolling out new MHOs in three of Mali’s eight regions. Health Systems 20/20 partnered with Malian stakeholders, the World Bank, and the Ministerial Leadership Initiative to develop a strong national CBHI strategy and policy. The Malian government has committed $5 million to subsidize the premiums for new members who will enroll in the first year. Mali becomes only the third African country to directly support MHOs.
Since 2006, Health Systems 20/20 has partnered with 55 USAID-partner countries to eliminate barriers that block access to and use of priority health, population, and nutrition services. Visit http://www.healthsystems2020.org to learn more about how USAID and Health Systems 20/20 are improving the way health systems do business, one country at a time.