Factors Affecting Intention to Purchase Private Health Insurance: A Study with Reference to Middle Income Group in Thrissur District

Abstract

There was a paradigm shift in global demand for health insurance during last decade. However, penetration in India is still far behind global average and Kerala, is not an exception. Understanding perception of people and factors driving their intention to purchase hence is of prime importance. With this objective, this study investigates the determinants of health insurance purchase intention among prospective buyers in Thrissur district. The study is based on primary data collected from middle income group private sector employees in urban areas of district who are not yet taken individual health insurance policy. This work focuses on middle income group respondents since there exist potential for expansion of insurance services in this stratum. Empirical analysis done using multiple regression revealed delicate, yet significant relationship between Perceived risk, awareness, cost, and intention to purchase.