Health Insurance is a new concept in Bangladesh. There are very limited health insurance scheme offered by the insurance companies in Bangladesh. However, this contributes a negligible portion of the population and contributes insignificantly to the financing (less than 1%). Problems associated with this form of finance include low coverage due to high cost of premium and often available to urban population engaged in working with the formal sector. The risk groups are often excluded for adverse selection. The poor and low-income group cannot afford to pay for private insurance.
At present a number of community-based schemes are operating at community level organized by NGOs and local hospitals. The schemes are integrated in the sense that they are insurer as well as service provider. The schemes have dubious success within a limited area but overall contribution to total national spending is small or negligible.