Recession hits Brazil health insurance industry where it hurts

Brazil

Brazil health care

Brazilian Health Insurers lost over two and a half million customers last year. Most have to resort to the country’s public health system but many are looking for low cost clinics for their health care.

CGNT’s Paulo Cabral reports.

Recession hits Brazil health insurance industry where it hurts

Brazilian Health Insurers lost over two and a half million customers last year. Most have to resort to the country’s public health system but many are looking for low cost clinics for their health care. CGNT’s Paulo Cabral reports.

Only in 2016 about 2.6 million people had their health insurance canceled – either because they lost their jobs and benefits or couldn’t pay the premium anymore.

The healthcare companies association said charging less to retain and acquire customers is not an option.

“The costs are increasing and the income is decreasing,” Abramge insurance company Executive Director Antonio Carlos Abbatepaolo said. “So the profit margins are very, very tight at this moment.”

For many Brazilians who need health care but lack the money to pay for private insurance plans, low cost walk-in clinics are an increasingly popular option.

In some medical centers, a doctor’s appointment can cost as little as $30.

However, there’s argument that health care is an essential item for any family. Cutbacks on this area show just how badly recession is hitting many of them.