We report on a large randomized controlled
trial of hospital insurance for above-poverty-line Indian
households. Households were assigned to free insurance, sale of
insurance, sale plus cash transfer, or control. To estimate
spillovers, the fraction of households offered insurance varied across
villages. The opportunity to purchase insurance led to 59.91% uptake
and access to free insurance to 78.71% uptake. Access increased
insurance utilization. Positive spillover effects on utilization
suggest learning from peers. Many beneficiaries were unable to use
insurance, demonstrating hurdles to expanding access via
insurance. Across a range of health measures, we estimate no
significant impacts on health. |