This study profiled and decomposed health inequality among rural households in Nigeria. Core Welfare Indicator Questionnaire data obtained by National Bureau of Statistics in 2006 was used. The data set comprised of 59,567 rural households. Data were analyzed using generalized entropy and Shapley decomposition.Level of disparity in access to health care service is 0.320. North East and South West Zone have the highest (0.333) and least incidence of health inequality (0.286). Furthermore, more than 80% of health inequality is as a result of dynamics within various socio-economic groups.The study therefore concludes that health inequality exists in Nigeria especially in the North and there is the need for increased commitment by all stakeholders in order for the country to be able to achieve the millennium development goals on health issues which are to reduce child mortality, improve maternal health and combat AIDS, malaria and other diseases
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