Hyderabad: Hyderabadis often walk into hospitals hoping to be treated for an ailment, only to leave with a new problem – a significant dent in their savings. A survey by the Union ministry of statistics and programme implementation has found that at Rs 52,743 per hospitalisation, residents of Telangana incur the highest average medical expenditure in the country across public, private and charitable facilities.This figure is well above the national average of Rs 37,858.According to the latest ‘Household Social Consumption: Health’ survey, private hospitals account for the bulk of spending with an average cost of Rs 72,561 per hospitalisation, compared to Rs 5,856 in public hospitals and Rs 46,849 in charitable institutions.In rural areas, the average cost stands at Rs 48,023, driven largely by private hospitals where patients spend about Rs 66,757 per case. Public hospital costs are relatively low at Rs 8,124, while charitable hospitals average Rs 29,934.In urban areas, the average expenditure rises further to Rs 59,043 per hospitalisation. While private hospitals remain expensive at Rs 79,783, notably charitable hospitals show extremely high costs at Rs 1,03,920, significantly skewing the urban average. Public hospital costs are much lower at Rs 2,384.Health experts say the data shows a comparatively higher out-of-pocket expenditure for patients in Telangana. This could be driven by a greater reliance on private healthcare facilities, higher procedure costs and increased use of advanced diagnostics and treatments.Senior public health expert Dr Burri Ranga Reddy says across India, including Telangana, higher average hospitalisation expenditure is largely driven by the growing dominance of corporate hospital networks.“We have witnessed healthcare inflation rising at nearly twice the rate of general inflation, fuelled by increasing hospitalisation expenses and insurance premiums,” says Dr Ranga Reddy, president of Infection Control Academy of India (IFCAI). “While this has expanded access to advanced and tertiary care, it has also led to higher procedure costs and premium pricing. It is driven in part by a race among private equity-backed hospital chains pursuing aggressive acquisitions at head-spinning rates.“Venture capital model raises costsEchoing similar concerns, another public health expert, Dr Kiran Madhala, said in Hyderabad, many corporate hospitals have increasingly moved toward venture capital-driven models. This often leads to the overall cost of healthcare rising.“The recent socio-economic survey shows that at present, nearly 10% of household loans in Telangana are taken for health-related expenses, most of them arising from emergencies,” said Dr Madhala, who is also secretary-general of the Telangana Teaching Doctors’ Association (TTGDA). “This forces many families to depend on high-interest money lenders, pushing them into financial distress.He adds that as Hyderabad continues to evolve into a global healthcare hub, competition and technological advancements will further drive up average treatment costs. “There is a clear need for strong mid-range hospitals that can deliver quality care at affordable costs,” he says.The relatively limited share of govt tertiary and beyond care is exacerbating this imbalance. “In the absence of adequate public sector capacity in advanced care, patients are effectively compelled to seek treatment in higher-cost private institutions. The dependence on high-cost care is directly increasing out-of-pocket expenditure,” said Dr Ranga Reddy.TIMS may help cut costsThe Telangana govt has taken steps to expand medical colleges and develop institutions such as Telangana Institute of Medical Sciences (TIMS) hospitals which may help reduce dependence on the private sector.However, experts emphasise this must be complemented with a significant increase in public health spending. Currently, govt expenditure on health stands at around 4.2% of the state budget, which needs to be scaled up to at least 8% to ensure sustainable and equitable healthcare delivery. “If govt expansion is implemented effectively, it can help moderate out-of-pocket expenditure, improve access equity and restore balance in the healthcare system,” said Dr D Srinath, president, Telangana Senior Resident Doctors Association (TSRDA).COSTLY CARETelangana – Rs 52,743Tamil Nadu – Rs 48,288Maharashtra – Rs 44,778Uttar Pradesh – Rs 43,006Andhra Pradesh – Rs 42,517Kerala – Rs 41,410Karnataka – Rs 40,599West Bengal – Rs 31,426(Hospitalisation cost comparison per case, (rural + urban)
