MAM
Global entertainment, media industry spend to reach $1.4 trillion in 2007 :PwC
NEW YORK: The global entertainment and media industry spending will surpass $1.1 trillion this year, 3.7 per cent higher than its 2002 level, according to PricewaterhouseCoopers (PwC).
This will happen despite the softness in the world economy, increased military and security spending, the prolonged lead-up to conflict followed by the war in Iraq and the SARS epidemic.
PricewaterhouseCoopers forecasts that global entertainment and media spending will reach a record $1.4 trillion in 2007 for a 4.8 per cent compound annual growth rate (CAGR) over the next five years.
These predictions were published in the latest edition of the annual PricewaterhouseCoopers Entertainment And Media Outlook: 2003-2007, North America (with a global overview).
PricewaterhouseCoopers’ entertainment and media practice global leader Kevin Carton says, “Essentially, digital adoption both give and take away. New products and services generated by digital technology and broadband will drive market growth. However, in the near term, digitisation will cannibalise existing revenues and piracy threatens new digital content business models.”
Defense spending and ad growth: The report states that several key drivers will affect the industry worldwide during the next five years. Specifically, increased investment in defense and security will bring an end to the so-called “economic peace dividend” that has benefited advertising growth and consumer industries such as entertainment and media. New global realities will result in ad spending growing at a slower rate than Gross Domestic Product (GDP) as more financial and manpower resources are digested by defense needs.
With military costs beginning to account for a larger slice of the GDP pie, consumer costs will be driven higher throughout the global economy, and content producers will find it easier to pass along price increases. The resulting higher spending rates will boost global consumer/end-user spending on entertainment and media to nearly $1.4 trillion in 2007.
Industry rebound forecasted: The resiliency of the entertainment and media sector is evidenced by the global advertising’s rebound from recent weakness, boosted by solid category increases in television, radio and out-of-home advertising.
Also contributing to the turnaround will be: a resurgence of Internet advertising as new metrics offer “reach-and-frequency” figures that empower media buyers to increase spending; and, a significant boost in ad dollars generated by the 2004 Olympics. In fact, global advertising spending in entertainment and media will soar to $375 billion in 2007, increasing at a 4.1 per cent CAGR for the 2003-2007 period covered by the Outlook survey.
PwC forecasts that spurred by broadband, next-generation technologies will significantly strengthen growth opportunities for television distribution, video games, Internet access and home video (bolstered by the DVD format). The firm sees the broadband universe experiencing unprecedented expansion — nearing 30 per cent compound annual growth — as penetration more than triples during the five-year period. Globally, more than 153 million households will be broadband-enabled by 2007.
PwC also forecasts double-digit CAGR increases for video games, Internet access and satellite radio. In fact, video games will emerge as the fastest growing industry segment — outpacing Internet advertising and access spending.
US continues to lead in entertainment and media spending : Overall, the US marketplace — at $479 billion, representing 44 per cent of global spending — will continue to be the industry’s largest.
In terms of category shifts, the current economic environment favours media with a broader demographic audience reach. This factor makes broadcast television networks more attractive to advertisers who will move some resources away from cable even though collectively, cable now attracts a larger audience. However, as cable networks begin to produce more original programming, they will draw larger audiences and vie for greater advertising dollars.
By the end of the five-year period, cable operators and telephone companies will have emerged as the dominant Internet service providers (ISPs). Evolution in the Internet advertising and access spending marketplace will continue. In the US, Internet advertising will rebound from its 23 per cent decline over the past two years and grow at an average annual rate of 8.1 per cent through 2007.
US broadcast and cable television advertising will grow at a 5.7 per cent average annual rate, reaching $37.4 billion by 2007. The growth of direct broadcast satellite (DBS) households continues to be one of the biggest stories for the television distribution category. Digital cable, which grew on the strength of attracting “early adopters,” has been levelling as consumers resist higher priced subscriptions. Aggressively offering lower prices, free dishes, and carriage of major market local stations, DBS is poaching cable subscribers leading to an 8.4 per cent average annual increase in satellite TV households during the next five years.
If we think about how many times you visited a paediatrician during the year for your child’s fever, or went to the pharmacy for cough syrup, antacids, or prescription cream; how many physiotherapy appointments your spouse had throughout the year, or how many routine diabetes check-up appointments you had; most families would say that the ongoing healthcare cost to their family isn’t necessarily the sudden expense of a grown adult being admitted to the hospital, but rather the ongoing and regular expenses of running the household. Because of this, the search for the best family health insurance plans in India have evolved to include OPD covering as a significant factor in their decision making process.
As someone who has reviewed countless policies for families, I’ve seen a clear shift. Families are no longer satisfied with a plan that only activates during a hospital crisis. They want a partner for everyday wellness, and that’s what modern, comprehensive Health Plans for Family aim to be.
OPD Cover: The Game-Changer in Family Health Insurance
OPD, or Outpatient Department, cover handles expenses incurred outside of a hospital admission. This includes:
- Doctor consultation fees (General Physicians and Specialists)
- Diagnostic tests (blood work, X-rays, MRIs)
- Pharmacy bills (medicines prescribed)
- Minor procedures (dressing, injections)
Without OPD coverage, all these costs come directly from your monthly budget. A comprehensive Health Insurance with OPD Cover absorbs these shocks, transforming your policy from a seldom-used safety net into an active, year-round health management tool. For a family with children or aging parents, this isn’t a luxury; it’s a practical necessity.
Identifying the Best Family Health Insurance Plans In India with OPD
Not all OPD covers are created equal. When comparing Health Plans for Family, you must dig into the specifics. Here’s what separates the good from the truly valuable:
Integrated vs. Add-on Cover: Some of the Best Family Health Insurance Plans In India bundle OPD within the base plan (e.g., HDFC Ergo’s Optima Restore). Others offer it as a paid add-on rider. Integrated covers are often more seamless, but add-ons allow you to customize. Compare the sub-limits and overall value.
Realistic Sub-Limits: OPD coverage always has limits. Look for plans that offer a dedicated annual OPD sum insured (e.g., ₹10,000-₹25,000 per family) rather than a tiny per-consultation limit. This gives you flexibility, you can use it for a few major diagnostics instead of just small consultations.
Cashless OPD Network: The true convenience of health insurance with OPD cover is cashless access. Leading insurers have tied up with pharmacy chains, diagnostic centers, and clinic networks. You can walk in, show your card, and walk out without paying upfront. Check the insurer’s network partners in your locality.
Simplified Claims Process: For reimbursements outside the cashless network, the process should be digital and straightforward—via an app with document upload. Cumbersome OPD claim processes defeat the very purpose.
Key Players and What to Look For
Several insurers have pioneered strong family floater plans with OPD benefits. While new products emerge, plans like HDFC Ergo’s Optima Restore, ICICI Lombard’s Health Advantage Plus, and Niva Bupa’s ReAssure 2.0 have been notable for their structured OPD components. Star Health’s Family Health Optima also offers a comprehensive package.
However, the plan name is less important than its architecture. Your checklist for the Best Family Health Insurance Plans In India with OPD should verify:
Adequate In-patient Sum Insured: This is your core cover. Don’t compromise this for OPD. Start with at least ₹15-20 Lakh for a family of four.
Restoration Benefit: Crucial for families. It restores your main sum insured if exhausted, often including the OPD cover.
No Claim Bonus (NCB): Your reward for a healthy year should protect your OPD benefit too, often by increasing your overall sum insured.
Preventive Health Check-ups: A sign of a wellness-oriented insurer. Many top Health Plans for Family include free annual check-ups, complementing the OPD benefit.
Making the Smart Choice for Your Family
Choosing the right plan requires a simple audit. Tally your family’s average annual spend on doctor visits, tests, and medicines. You’ll likely find it’s a significant amount. Then, compare the premium of a comprehensive Health Insurance with OPD Cover against a basic plan plus your out-of-pocket OPD expenditure. The difference is often negligible, but the value is monumental.
For families, the Best Family Health Insurance Plans In India will be those that acknowledge the fact that the “real” journey for your family’s health occurs daily and not just during emergencies. By choosing a Family Health Insurance plan with meaningful OPD coverage, you will not only be insuring against your family getting sick, but also investing in your family’s ability to see their doctors or other healthcare providers on a more frequent basis for non-emergency issues and providing your family with a significant degree of peace of mind with regards to their financial and physical well-being. The shift away from reactive insurance to proactive insurance by families is now essential; it has become a necessity for the modern family that is living with intention.
