Can health financing programmes reduce food insecurity in a developing country?

Area of Science:

• Health Economics
• Food Security Studies
• Social Policy Research

Background:

• Out-of-pocket healthcare expenditures significantly burden households, potentially diverting resources from essential needs like food.
• The relationship between health financing programs and household food insecurity remains under-explored in academic literature.

Purpose of the Study:

• To investigate the impact of health financing programs, specifically National Health Insurance Scheme membership, on household food insecurity.
• To identify the mechanisms through which health financing influences food security outcomes.

Main Methods:

• Utilized data from the seventh round of the Ghana Living Standards Survey.
• Employed quasi-experimental methods with endogeneity correction to assess the causal effect.
• Measured food insecurity using the Food Insecurity Experience Scale (FIES).

Main Results:

• Membership in a health financing program was found to significantly reduce household food insecurity.
• The positive impact was more pronounced in urban areas and among female-headed households.
• Household savings emerged as a key mediating channel for this effect.

Conclusions:

• National Health Insurance Scheme membership effectively mitigates household food insecurity.
• Policy interventions should consider the role of health financing in enhancing food security, especially for vulnerable groups.
• Promoting health insurance uptake can be a strategy to improve both health and food security outcomes.