A comprehensive study conducted by the Ministry of Health has been published today, dealing with commercial health insurance and raises questions on issues of proper regulation and how to achieve optimum consumer protection regarding health insurance.
​The Ministry of Health today publishes a comprehensive study, reviewing the commercial health insurance industry in Israel. The paper, written by Dr. Tuvia Horev, deputy director general of economics and health insurance, and Nir Kedar, health economy manager in the ministry.

The document, which was written as a part of an overall review of the private health insurance market in Israel, investigates the private health insurance market in Israel. The document compares it with the OECD countries and presents a series of challenges facing the health system in Israel in view of the existing interfaces between the public system and the commercial system, and focuses on the need to develop a unique consumer protection mechanism in this market. The report for the first time presents evidence of the growth in household expenditure on commercial health insurance – between 2002 and 2011 the share of household expenditure on commercial health insurance has increased by about 90%! The paper presents recommendations of policy and potential avenues of activity in the field of regulation of the private health insurance market in Israel, which would also take into consideration the existing interrelationships between this system and the public health system.
The paper also deals with the existing market deficiencies in the health system in general and on the potential directions in which the commercial health insurance may influence the public health system and the health services system for the population of the state of Israel. Finally, the authors propose recommendations in the area of regulation of the commercial health insurance market in Israel. This paper is a part of a comprehensive study undertaken by the department of economics and health insurance on the private health insurance market in Israel.