Families' healthcare expenses in private medical institutions are significantly higher than in public hospitals. According to data from a new survey, the average cost of hospitalization in a private hospital is ₹50,508, whereas in a public hospital, this amount reaches only ₹6,631. This means that costs in the private sector are approximately 7.6 times higher than costs in the public sector.
These findings are based on data from the 80th round of the National Sample Survey (NSS), which was analyzed by LocalCircles as part of its new study. The survey covers the experiences of families who have used medical services over the past three years. To conduct the study, LocalCircles collected responses from 23,084 people across 306 districts nationwide. Special attention in the survey was paid to the experience of treatment in private clinics, billing processes, and the financial burden placed on patients.
A substantial difference in costs is also observed in maternity care. According to NSS data for the period from January to December 2025, the average out-of-pocket expense for childbirth in a private hospital was ₹37,630. Meanwhile, in a public hospital, this expense was recorded at only ₹2,299.
A significant number of respondents expressed concern about the high cost of treatment in private clinics. The study showed that the financial pressure on patients is not limited only to hospitalization fees; the cost of tests, medicines, wards, and other services substantially increases the total bill.
The survey also revealed various issues related to billing in private hospitals. 49% of respondents reported the inclusion of unnecessary doctor consultation fees in bills. Furthermore, 43% complained about excessively high doctor consultation costs. Another 40% noted instances of inflated quantities of medicines and consumables. The same number of people mentioned unforeseen or previously unknown charges.
The overall picture from the survey shows that more than six out of ten families faced some issues with paying bills in private hospitals. The highest number of complaints concerned the cost of treatment and diagnostic tests. Only 14% of respondents stated that they had not encountered any of the billing issues listed in the study.
This LocalCircles survey was conducted among verified users and gathered over 23 thousand responses from 306 districts. Among those who responded were 69% men and 31% women. Responses came from districts of different tiers: 46% from Tier-1 cities, 30% from Tier-2, and 24% from third, fourth, and fifth-tier districts. The survey is being conducted amid growing public concern about the rising cost of medical care and financial burdens for families in the country, demonstrating a significant price disparity between private and public institutions.
