Access to affordable healthcare is one of the most important ways to break the cycle of poverty, and it can have a profound impact on reducing negative coping mechanisms, such as child labor, as well as reinforcing positive behaviors, such as engaging in education. Let’s take a closer look at how these outcomes might be achieved.

The Hidden Costs of Illness on Families

Farming families often face a difficult choice when a family member falls ill. Health expenses, whether for treatment, medication, or a hospital stay, often force households to make sacrifices in other areas. These often include expenses for food and education. For instance, a cross-sectional study from India showed that when a household is affected by illness, household spending on food can drop by as much as 68.2%, and spending on education can fall by 43.6% – both in an attempt to cover healthcare costs. This not only affects the immediate well-being of the family but also compromises the long-term potential of children in the household.

Access to Healthcare Eases the Financial Burden

In contrast, when families can rely on affordable healthcare, they can avoid having to make these difficult decisions. With fewer worries about unforeseen medical costs, they are better able to allocate funds for other vital needs, including education. For example, an analysis of the Ghana Living Standards Survey in 2022 found that households with access to the National Health Insurance Scheme (NHIS) were able to significantly increase their spending on education – by up to 72.6%. Not needing to redirect their household spending to cover healthcare costs, these families were able to safely invest more in their children’s schooling.

Reducing Child Labor Through Better Health

One of the most impactful benefits of affordable and easy healthcare access is the reduction in child labor. A cross-sectional study in Ghana showed that when families have access to health coverage, they are more likely to keep their children in school and reduce their reliance on child labor. The study found a notable 8.8% reduction in child labor in households with higher sickness intensity when affordable health insurance was introduced (in Ghana, this is the NHIS, National Health Insurance Scheme). In the same sample, the time children spent attending class increased by one hour – indicating once again the benefits for children’s education.

Similarly, in Pakistan, a study revealed that when families had access to health coverage, hazardous labour dropped by 5%, and child labor dropped by 4%. With less pressure to contribute financially to cover healthcare, children stayed in school, receiving an education that would ultimately open doors to better opportunities in the future.

Healthcare Access Improves Educational Outcomes

When children aren’t working long hours to support their families, they can focus on their education, leading to better academic outcomes. Moreover, children in households with access to health insurance showed notable improvements in school performance, as shown by a study in Ghana. These students performed better in essential areas related to mathematics and language, with improvements of up to 12.3% in written calculations and 13.4% in reading and writing English. Without the financial strain of medical expenses, families are better positioned to be able to support their children’s education, whether through purchasing books, covering school materials, or simply allowing their children the time and space to study.

The Bigger Picture: Breaking the Cycle of Poverty

This connection between healthcare access, reduced child labor, and improved educational outcomes is a powerful lever that can be used to help break the cycle of poverty. When children can remain in school and families have affordable healthcare, the likelihood of children entering the workforce decreases. With greater educational opportunities, children gain better job prospects in the future, which can contribute to long-term economic stability for their families. As children with these opportunities grow up, they might be more likely to prioritize education and healthcare for their own families, fostering a cycle of continued social and economic stability across generations.

The Bottom Line

In conclusion, it’s clear that access to affordable healthcare does far more than improve physical well-being – it can be the key to unlocking a brighter future for children. By reducing child labour and improving school attendance and academic performance, healthcare access offers a pathway out of poverty – not just in the short-term, but in the long-term, and for future generations, too. It enables families to focus on their children’s education without the anxiety and burden of unexpected medical expenses. In a world where access to healthcare is still out of reach for many, it’s clear that providing this basic service could help change the future for countless children, empowering them to break free from the cycle of poverty and build a better life.