The Question

What determines an Indian household’s choice of healthcare provider?

What we found

Using nationally representative data from the District Level Household Survey (DLHS-3) 200708 of India, we built a multinomial probit model to examine the determinants of a household’s choice of treatment provider among a government hospital, primary or community health center, other public healthcare facility, and a private provider.

We found that the standard of living, caste and characteristics of the household head are important determinants of household choice. Poorer or ethnic and religious minorities are more likely to visit a public provider than a private provider. Supply-side inputs such as medical staff, hospital equipment and the availability of drugs do not have a strong association with choice pattern, but the perception of quality is positively correlated with choice. The distance to facilities and the level of dissatisfaction with public providers within the community have a strong negative influence on the choice of public facility.

Why it matters

Understanding the factors that influence a household’s choice of healthcare provider is greatly relevant to policymaking, giving policymakers the ability to identify regions and groups that require additional public health resources. Additionally, these factors can indicate pathways toward improving quality of service.