MICROECONOMIC COPING, HEALTH FINANCING, AND DEMOGRAPHIC DETERMINANTS OF COVID-19 VULNERABILITY: EVIDENCE FROM ERODE DISTRICT
 https://doi.org/10.65725/RPSET/1/2/005

JOURNAL OF RESEARCH PERSPECTIVES IN MULTIDISCIPLINARY SCIENCE, EDUCATION AND TECHNOLOGY (RPSET)
Volume 1 Issue 2, April – June 2026

Abstract
This study evaluates the reach and perceived effectiveness of government relief packages, as well as the financial exposure of households affected by COVID-19, in Erode District, Tamil Nadu. Primary data were collected during 2022–2023 via structured questionnaires administered to 250 infected households, comprising 155 rural and 95 urban families. The empirical analysis utilizes descriptive statistics, rural-urban cross-tabulations evaluated through Pearson Chi-square tests of association, and Ordinary Least Squares (OLS) regression models. The empirical findings reveal that Tamil Nadu state-level relief achieved high nominal coverage, reaching 94.4% of households. However, Central Government scheme penetration was significantly weaker, leaving 72.4% of households without support. Private hospital treatments for 67 respondents resulted in a substantial financial shock of INR 8,141,000, with average expenditures significantly higher in urban areas (INR 185,842) than in rural areas (INR 144,063). Formal healthcare insurance proved highly ineffective, providing financial relief to only 4.0% of the sample, while Ayushman Bharat (PMJAY) cardholder penetration stood at a negligible 1.2%. Consequently, 58.0% of the households resorted to debt accumulation as their primary coping mechanism during lockdowns, resulting in severe balance-sheet erosion. The article concludes with policy suggestions emphasizing the need for universal social registries, legally capped private healthcare tariffs, and the revitalization of primary healthcare networks to build systemic resilience against future macroeconomic and public health shocks.

Authors: Dr. M. Saravanakumar, Dr. M. Priyadharshini 

Keywords: COVID-19, out-of-pocket expenditure, government relief, household vulnerability, health insurance, Tamil Nadu.