India's Healthcare Gets Cheaper, Wider: National Statistical Office Survey Reveals Big Gains

India's healthcare system is showing signs of significant transformation, with improved access, reduced costs, and stronger public health utilisation, according to the latest findings from the National Statistical Office (NSO) 80th Round Survey on Household Social Consumption: Health.

Released on April 29, 2026, the large-scale survey, covering over 1.39 lakh households across rural and urban India, offers one of the most comprehensive snapshots of how Indians access and pay for healthcare. The findings point to a notable shift: more people are seeking care, public health facilities are being used more frequently, and financial barriers appear to be easing.

At a time when rising healthcare costs are a global concern, India's data suggests a different trend, especially in public healthcare, where essential services are increasingly accessible at little to no cost. The survey also highlights expanding insurance coverage and improved maternal health outcomes, reflecting years of policy interventions and increased public investment.

Experts say these changes indicate not just better infrastructure, but growing trust in the public healthcare system. Here's a closer look at what the NSO survey reveals about healthcare access, affordability, and utilisation in India.

Healthcare becoming more affordable

One of the most striking findings of the survey is the low median out-of-pocket expenditure (OOPE) for healthcare. The median OOPE per hospitalisation case in 2025 stands at Rs 11,285, indicating that more than half of hospitalisation cases involve relatively modest spending. Importantly, for hospitalisations in public health facilities, the median OOPE drops sharply to Rs 1,100.

Even more notable is outpatient care, median OOPE in public facilities is zero, meaning a large proportion of patients access care without paying out of pocket. This aligns with initiatives like the Free Drugs Service Initiative (FDSI) and Free Diagnostics Initiative (FDI), which aim to provide essential medicines and tests at no cost.

Rising healthcare access and utilisation

The survey highlights a steady increase in the use of public healthcare services.

In rural areas, outpatient care utilisation in public facilities rose from 28% in 2014 to 35% in 2025. This growth is linked to the expansion of primary healthcare through over 1.84 lakh Ayushman Arogya Mandirs, which provide preventive, promotive, and curative services closer to communities. Increased utilisation suggests improved accessibility, but also greater trust in government-run facilities.

Health-seeking behaviour improves

Another key indicator is the rise in the Proportion of Population Reporting Ailments (PPRA).

Between 2017-18 and 2025:

• Rural PPRA increased from 6.8% to 12.2%
• Urban PPRA rose from 9.1% to 14.9%

This near doubling suggests that more people are recognising symptoms and seeking medical care, an important shift toward proactive health behaviour.

Insurance coverage expands significantly

Financial protection has improved dramatically with the expansion of government-backed insurance schemes.

Coverage has more than tripled:

• Rural areas: 12.9% to 45.5%
• Urban areas: 8.9% to 31.8%

Schemes like Ayushman Bharat Pradhan Mantri Jan Arogya Yojana have played a central role in reducing catastrophic healthcare spending.

Targeted impact on poorer households

The survey shows a decline in out-of-pocket expenditure among the bottom two consumption quintiles, indicating that lower-income groups are benefiting the most from government interventions. This suggests improved equity in healthcare access, an important goal in public health policy.

Maternal healthcare sees strong gains

India has made notable progress in maternal health outcomes.

Institutional deliveries have increased to:

• 95.6% in rural areas
• 97.8% in urban areas

This reflects the success of programmes such as:

• Janani Suraksha Yojana (JSY)
• Janani Shishu Suraksha Karyakram (JSSK)
• Pradhan Mantri Surakshit Matritva Abhiyan (PMSMA)

Shift in disease patterns

The survey also captures an epidemiological transition:

• Decline in infectious diseases
• Rise in non-communicable diseases (NCDs) like diabetes and heart disease

This trend aligns with global patterns highlighted by the Global Burden of Disease Study, which shows increasing NCD prevalence in developing countries.

The shift underscores the need for:

• Preventive care
• Early screening
• Long-term disease management
• Strengthening healthcare infrastructure

Improved outcomes are linked to sustained government investment in:

• Primary, secondary, and tertiary healthcare infrastructure
• Human resources
• Digital health systems

Initiatives like AMRIT pharmacies, offering discounted medicines, and improved diagnostic networks have enhanced affordability and access.

The NSO 80th Round Survey paints a largely positive picture of India's healthcare landscape, one marked by improved access, reduced financial burden, and expanding insurance coverage. Increased utilisation of public health facilities and rising health-seeking behaviour suggest growing trust in the system. However, the shift toward non-communicable diseases also signals new challenges that will require sustained focus on prevention and long-term care. As India moves closer to universal health coverage, these findings highlight both the progress made and the work that lies ahead.

Disclaimer: This content, including advice, provides generic information only. It is in no way a substitute for a qualified medical opinion. Always consult a specialist or your own doctor for more information. NDTV does not claim responsibility for this information.