Abstract: Significant advancements have been witnessed in health care services over the years but there is always some kind of uncertainity associated with its adequate utilization. This uncertainity is primarily due to less or limited knowledge of medical health conditions and services among people. So, the concept of “HEALTH LITERACY” could come to the rescue of people and improve their knowledge to promote good health. The objective of this review is to identify the need and importance of Health Literacy and make an effort to highlight its effectiveness in improving the overall health outcomes.