Ethiopian Health Insurance is a social health protection scheme introduced to improve access to healthcare services and reduce out-of-pocket expenditures for citizens. The initiative aims to cover all citizens, particularly those in low-income brackets, ensuring they have access to essential medical services. Managed under the Ethiopian Health Insurance Agency, the system is gradually being implemented across the country with efforts to expand coverage. The health insurance scheme operates under two main branches: **Social Health Insurance (SHI)** for formal sector workers, including government and private employees, and **Community-Based Health Insurance (CBHI)** for informal sector workers and rural communities. SHI is mandatory for formal employees, where premiums are deducted from salaries, while CBHI is a voluntary program targeting rural and informal populations, who pay contributions based on their income. CBHI has been especially successful in rural areas, providing access to primary healthcare services. It also encourages people to seek medical care before illnesses become severe, which helps to improve overall public health outcomes. Members of CBHI can access care at public hospitals, health centers, and some private facilities. Despite the progress, Ethiopian health insurance faces challenges, including ensuring sustainable financing, expanding coverage to informal and vulnerable populations, and enhancing the quality of healthcare services. However, ongoing government reforms and international support aim to address these issues to build a stronger, more inclusive health insurance system.
