New Delhi: A reverse mortgage system to increase senior citizens’ liquidity, tax and GST reforms on senior care products to increase adoption and protect the senior population from financial burden are among a raft of measures proposed by government think tank Niti Aayog.
“Encouraging the private sector to design targeted and comprehensive geriatric health insurance products and increasing liquidity and capital allocation to the senior care industry will help address needs of the payer segment,” the paper on senior care reforms in India said, while suggesting action on four key areas that include health, social, financial and digital.
It called for protection for the elderly against financial fraud by increasing awareness and literacy. “The government should re-evaluate the reverse mortgage mechanism to increase liquidity for the elderly and by making necessary amendments to the current reverse mortgage rules.”
The paper called for designing robust digital inclusion, which requires improving access to digital services, focusing on increasing digital literacy, efforts must be made to harness the potential of modern technology, such as AI, the internet of things, big data and machines. learning to take care of routine procedures. Senior citizens in India currently comprise just over 10% of the population, and are projected to reach 19.5% of the total population by 2050.
The paper estimated that by 2050, one out of every four Indians will be elderly. In absolute numbers, it will be equal to the population of the United States for the industry in the form of “silver economy”. The senior care industry in India is around $7 billion (about Rs 57,881 crore) and it is expected to grow rapidly, showing ample opportunity for the healthcare companies to create solutions for the silver generation, according to the paper.
It also called for involving the private sector in areas such as building nursing homes for the elderly, sponsoring medical units that can travel to remote and rural areas and designing new private sector insurance products for the elderly.
“Allocate CSR funds as a contribution to national funds or for care provided to the non-paying category of the elderly in their facilities instead of concessional land, utilities, discounts, etc.,” according to the paper.